sustainability report - metals for progress · london metal exchange for its products, the...

We can only be successful together.

How we integrate sustainability principles in our corporate control and our growth (p. 12)

How we continue improving our products and production (p. 18)

How we assume responsibility for environmental and climate protection in our company (p. 24)

How we view our role as an employer (p. 30)

Where we see the roots of our social commitment (p. 36)

Sustainability Report 2011

additional informationon the topics presented here is available in various media and publications. We have placed references labelled with the following symbols in the relevant parts:

Reference to an external website

Reference to our website www.aurubis.com/en/ with the URL specifi c to the topic

Reference to downloads on our website www.aurubis.com/fi leadmin/media/documents/en/ with the URL specifi c to the topic

Reference to our Environmental Report 2011 Reference to our Annual Report 2010/11

Reference to another part of this report

Furthermore, you can fi nd additional information in the parts indicated with a .

In order to ensure comparability and transparency, this report is oriented towards the Global Reporting Initiative guidelines( p. 44).

We are open to questions, comments and critique related to our Sustainability Report. Our contact information is on page 48.

We believe that sustainability can only be successful when it is understood as a shared responsibility.

In this report, you can read about the objectives and focuses of our work in the past two years and the successes we achieved in the process.

Our Group structure

Corporate Functions

Executive Board

Business Units

Primary Copper

Aurubis Belgium n.v./s.a.4

Aurubis Bulgaria AD14

Aurubis Finland Oy 17

Aurubis Netherlands BV 29

Aurubis UK Ltd. 3

Aurubis Sweden AB 18 20

Schwermetall Halbzeugwerk GmbH & Co. KG 9

CIS Solartechnik GmbH & Co. KG41

Peute Baustoff GmbH 1

RETORTE GmbH Selenium Chemicals & Metals 7

E. R. N. Elektro-Recycling NORD GmbH2 1

C. M. R. International n. v./s. a. 8

Aurubis Italia S. R. L. 16

Aurubis Slovakia s. r. o. 11

Deutsche Giessdraht GmbH 5

Aurubis Switzerland S. A. 13

Recycling/Precious Metals

Cablo Metall-Recycling & Handel GmbH 2 10

Aurubis AG1 6

Copper Products1

Aurubis Buff alo, Inc. 28

Aurubis Metal Products (Shanghai) Co., Ltd. 26

Aurubis Stolberg GmbH & Co.KG 9

Aurubis Mortara S. p. A. 32Further information about our company

structure and our subsidiaries and holdings

can be found under “Affi liated Companies”

at the top of the homepage and at:

/corporate-group/group-structure/

business-units/

Status: 31 December 2011

1 BU Copper Products also has an extensive service and

sales system for copper products in Europe, Asia and

North America.

2 70 % holding until Dec. 2011

3 Holding in the subsidiary in percent; where not

otherwise indicated: 100 %

4 Because of the dramatic changes in the global solar

market, including a drastic ongoing price decline and

transfers of production to Asia, the development of

our own batch production in Germany was no longer

cost-effective. Following an unsuccessful search for an

investor for the construction of a production facility,

research was discontinued on 31 December 2011.

You can fi nd more information in our Environmental

Report 2011 p. 93.

60 %3

50 %3

50 %3

50 %3

Apart from the Business Units, cross-group administration and service sectors have been set up as “Corporate Functions”.

These include:

» Corporate Energy Aff airs

» Finance

» Research & Development

» HR Corporate

» IT

» Investor Relations

» Group Communications

» Legal Aff airs/

Corporate Governance

» Risk Management

» Environmental Protection

» Central Procurement

35

1332

10 11

2

20 2118

17

1

981231

302928277654

14

19

36

38

37

2623

3334

2422

253

1615

Our sitesOur sitesOur sitesOur sites

Aurubis Groupsites Employees Employees

total 6,279 6,279 6,279 6,279 6,279 6,279

1 Hamburg, headquarters (Hamburg, headquarters (Hamburg, headquarters (Hamburg, headquarters (Hamburg, headquarters (DD) ) 2,206

1 Hamburg, CIS SolartechnikHamburg, CIS SolartechnikHamburg, CIS SolartechnikHamburg, CIS SolartechnikHamburg, CIS SolartechnikHamburg, CIS SolartechnikHamburg, CIS Solartechnik1 12

1 Hamburg, E. R. N. (Hamburg, E. R. N. (Hamburg, E. R. N. (Hamburg, E. R. N. (Hamburg, E. R. N. (D)2 3

1 Hamburg, Peute Baustoff (Hamburg, Peute Baustoff (Hamburg, Peute Baustoff (Hamburg, Peute Baustoff (Hamburg, Peute Baustoff (Hamburg, Peute Baustoff (D) 11

2 Fehrbellin, Cablo (DDD) ) ) ) ) ) ) 42

3 Smethwick / Birmingham (Smethwick / Birmingham (Smethwick / Birmingham (Smethwick / Birmingham (UKUK) 26

4 Olen (B) 443

5 Emmerich,

Deutsche Giessdraht (D)4 117

6 Lünen (D) 565

7 Röthenbach, RETORTE (D) 41

8 Antwerp, C. M. R. (B)1 3 9 Stolberg (D) 401

9 Stolberg, Schwermetall (D)1 1361

10 Nersingen, Strass, Cablo (D) 10

11 Dolný Kubín (SK) 12

12 Brussels (B) 31

13 Yverdon-les-Bains (CH) 50

14 Pirdop (BG) 812

15 Istanbul (TR) 2

16 Avellino (I) 108

Sites in the Aurubis Group’snew Business Line Flat Rolled Products & Specialty Wire EmployeesEmployees

17 Pori (Pori (FIFI) ) ) ) ) 194

18 Västerås Västerås (SE)(SE) 39

19 St. Petersburg (RU) St. Petersburg (RU) St. Petersburg (RU) St. Petersburg (RU) St. Petersburg (RU) 2

20 Finspång (Finspång (SESE) 187

21 Tokyo (JP) 1

22 Yokohama (JP) 1

23 Beijing (CN) 1

24 Seoul (KR) 2

25 Orpington (GB) 2

26 Shanghai (CN) 7

27 Chicago (US) 8

28 Buff alo (US) 609

29 Zutphen (NL) 159

30 Neuss (DE) 5

31 Lyon / Septème (FR) 3

32 Mortara (I) 25

33 Taipei (TW) 1

34 Hong Kong (CN) 1

35 Madrid (ES) 1

36 Bangkok (TH) 2

37 Ho Chi Minh City (VN) 1

38 Singapore (SG) 3

Raw materials

Concentrates

Recycling material

Copper products

Cathodes

Continuous cast wire rod

Continuous cast shapes

Strips/foils

Specialty rod/profi les,

By-products

Precious metals

Sulphuric acid

Iron silicate stone/sand

Other metals and products

Services

Service Centres

Sales offi ces

Trade

1 50 % holding 2 70 % holding until December 2011 3 Non-consolidated company 4 60 % holding Status: 30 September 2011

shaped wire

For us, “together” means improving at all of our sites with our colleagues – with our products, in occupational safety and environmental protection and in our corporate culture and management.

6 Aurubis company portrait 10 An overview of sustainability

12 Corporate control 16 Our company in fi gures

18 Product responsibility 22 Our products in fi gures and graphics

24 Environmental protection 28 Our environmental protection achievements in fi gures

30 Responsibility for our employees 34 Our personnel in fi gures

36 Social responsibility 40 Examples of our social commitment

42 External prizes and distinctions 43 Glossary 44 GRI Index 47 About this report 48 Contact information

What we have achieved so far in fi gures:

We produce about 1.2 million tonnes of copper products annually.

Our copper cathodes contain at least 99.99 % copper – this high purity enables the excellent quality of our products.

We have invested > € 370 million in environmental protection measures since 2000.

6,300 employees currently work at Aurubis in over 20 countries on three continents.

Our quota of apprenticeships is 8 % in Germany – we are proud of this fact.

2

Our third Sustainability Report, “Together”, takes the expanded Aurubis Group into account, which has grown due to the acquisition of Luvata’s Rolled Products Division (Luvata RPD). I am pleased to present this report to you, in which we provide updates about group-wide sustainability achievements in the fi scal years 2009/10 and 2010/11. The sites of the former Luvata RPD have not yet been assessed by means of the Global Reporting Initiative (GRI) performance indicators.

Aurubis is a leading integrated, internationally active copper group and the largest copper recycler worldwide. We have worked in a success-oriented manner since the beginning. Sustainable conduct and economic activity are central components of the corporate strategy. We know from our more than 145 years of experience that the economy, environmental protection and social aff airs are closely related. Further development of the company, improvement and growth are only possible if we view responsibility as the basis for them. Apart from appreciation, performance, integrity and mutability, responsibility is one of our fi ve corporate values.

Since fi scal year 2009/10, the Group has been confronted with a number of chal-lenges that it still faces even today. The eff ects of increasingly volatile markets that we deal with as an energy-intensive and raw material-intensive company in Europe, the acquisition and integration of the former Luvata Rolled Products Division in 2011, which led to the new Business Line Flat Rolled Products & Specialty Wire and added 1,300 employees to the Group, should be mentioned in particular. In the meantime, about 6,300 employees work for Aurubis worldwide.

There are some uncertainties in the forecast for the current fi scal year 2011/12. In the key market of copper and other metal markets, a great deal speaks in favour of ongoing high metal prices despite economic doubts. Price volatility is to be expected, however. We anticipate some uncertainty in the future demand for and sales of our copper products. We expect a good supply of copper concentrates, though negative impacts due to production disruptions in the mines are still possi-ble. The supply of copper scrap is subject to factors that can have an immediate eff ect and it can therefore change rapidly. With high copper prices and low Chinese buying activities, however, the chances for continuing satisfactory availability are good.

Dear readers,

3AURUBIS – SUSTAINABILITY REPORT 2011

Environmental protection is a basic component of our corporate policy. We want to further strengthen our top international position in the expanded Group. We have achieved important milestones: common standards were defi ned which serve as the basis for developing environmental protection in the Group. We have harmonised our key fi gures in all sectors and across the sites. Key fi gures that are relevant for control purposes have been defi ned and are provided in consolidated form wherever possible. The objective is to be able to maintain the highest environmental protec-tion standards and to ensure our own competitive advantage. For example, specifi c dust emissions in the Group’s copper production process have been reduced by over 94 % since 2000 owing to signifi cant investments in environmental protection and continuous improvements in plant technology.

Increasing demands and requirements in the fi eld of environmental protection present us with considerable challenges, however. In the meantime, environmentally friendly companies in Europe have to shoulder more and more additional burdens. German industry is currently at a clear disadvantage when it comes to electricity prices. New demands from the European Union not to compensate for the price of carbon credits, or only to do so partially, increase uncertainty for energy-intensive industries. Europe’s copper production sector is a world leader in energy effi ciency but cannot benefi t from this advantage since electricity prices in other parts of the world are in some cases much lower than in Europe. The limited progress that can still be achieved in further reducing CO₂ emissions requires capital expenditure that is growing disproportionately. Because of the uniform international prices set on the London Metal Exchange for its products, the non-ferrous metals industry, to which we belong, is not in a position to pass on additional local costs to its customers. Aside from economic damage, possible consequences also include global environ-mental eff ects through carbon leakage – that is, increased CO₂ emissions resulting from the relocation of production outside of Europe. At the same time, the energy turnaround needs non-ferrous metals: the use of renewable energies and the neces-sary grid expansion are based on the use of non-ferrous metals and, above all, cop-per. We are taking a stand for the importance of our products, also in cooperation with associations and company initiatives like “Metals pro Climate”.

4

Sustainability is about fi nding a balance between ecological, economic and social responsibilities. However it appears that signifi cant parts of society assign an over-riding importance to ecological considerations. From our own point of view, this will in the long term jeopardise the goal of a healthy, sustainable society.

Likewise, we accept the challenge of resource scarcity. About two-thirds of the Aurubis Group’s copper output come from copper concentrates and intermediate products from other smelters, while one-third comes from copper scrap and other recycling materials. The Group processes over 600,000 t of diff erent recycling materials into marketable products annually, thus making an important contribution to resource conservation. This is refl ected in the signifi cant capital expenditure at our recycling site in Lünen; about € 85 million was spent only on environmental protection at this site from fi scal year 1999/2000 to 2009/10.

Recycling alone cannot cover the ever increasing demand for copper in Europe either, however; for the forseeable future, supply security will be ensured by processing primary raw materials such as copper ore concentrates. However, our high-tech recycling is in a position to make a decisive contribution to securing raw materials. We are the world’s largest copper recycler with the best available technology. When it comes to the topic of resource effi ciency, we are also working together with associations to obtain appropriate basic conditions so that European industry’s competitive advantage is not weakened by trade limitations, a lack of uniform EU standards or illegal scrap exports to Third World countries. One example is the Raw Materials Task Force of the Economic Association for Metals in Germany (WirtschaftsVereinigung Metalle).

An important development for Aurubis during the reporting period was the acquisi-tion of the former Luvata RPD – Aurubis now benefi ts in the globally signifi cant connector market in particular. I am very happy about how positively the integration teams in the Group have begun their work and how colleagues at new and old sites cooperate with one another. This illustrates again how vital issue-oriented dialogue is – with employees, customers, the community and society. Our integration news-letter “Plus” is contributing to this continuous exchange.


Overall, we believe we are well positioned with our business model and look confi dently to the next few years despite the somewhat diffi cult environment. When it comes to sustainability, we are aware that many of Aurubis’ activities are not yet fully appreciated by the general public. The next step for Aurubis will be to develop a summary sustainability strategy this year.

You are cordially invited to see Aurubis’ sustainability achievements for yourself. We also look forward to a dialogue with you. Simply contact us at [email protected].

Best regards

Peter WillbrandtChief Executive Offi cerJanuary 2012

(picture at left, from l. to r.)

The Executive Board manages Aurubis AG and administers the company's business activities. It is committed to

the company's interests. The members of the Executive Board are appointed by the Supervisory Board.

Dr Stefan Boel is responsible for Business Unit Copper Products.

Dr Michael Landau oversees Business Unit Recycling/Precious Metals

and is serving as the Director of Industrial Relations.

Peter Willbrandt is responsible for Business Unit Primary Copper and Group Environmental Protection

and was appointed Chief Executive Offi cer on 1 January 2012.

Erwin Faust is the Chief Financial Offi cer.

6

Who we are, what we do

Aurubis AG is one of the world’s leading integrated copper groups with a strong foundation in Europe. Our portfolio includes copper production, metal recycling and copper product fabrication. With these services, we are active in signifi cant parts of the value-added chain of the industrial metal, copper. The pro-duction of precious metals and specialty products completes our range of services. Aurubis has sixteen production sites in eleven countries. An extensive sales and distribution network supports product sales in Europe, Asia and North America. Some 6,300 em-ployees work for Aurubis worldwide.

We are oriented towards sustainable growth and in-creasing value: the main focuses of our strategy are on strengthening the business, utilising growth oppor-tunities and responsibility towards people, resources and the environment.

Aurubis shares are part of the Prime Standard Segment of the Deutsche Börse and are listed in the MDAX, the European Stoxx 600 and the Global Challenges Index (GCX).

OUR BUSINESS MODEL

Our business model unites metal production, recycling and processing under one roof. This provides us with great fl exibility in the management of raw material procurement and production. We have a unique prod-uct and service range that is strongly oriented towards the demands of the market. We off er standard and specialty product solutions as well as comprehensive services.

We produce our copper fi rst and foremost from copper concentrates but also from other manufacturers' intermediate products, copper scrap and other recy-cling materials, including metal production residues and electronic scrap. A range of by-products are also extracted and processed into products such as precious metals, by-metals such as lead, tin and sele-nium, as well as sulphuric acid and iron silicate ( p. 22/23).

The copper cathodes produced at our sites in Hamburg, Lünen, Olen and Pirdop are of the highest quality, even exceeding the requirements of the metal ex-changes. We process most of the cathodes into copper products, but they can also be sold on the London Metal Exchange as well as to trade and industry.

With the fabrication of a wide range of products, we increase value added and secure a broad clientele in the processing industry. The fact that we produce our own cathodes provides a high degree of delivery reliability. Our main product is continuous cast wire rod which is used in cables, transformers, generators and engines, etc., where its good conductivity ensures very eff ective energy conversion and transmission. Aside from this, we produce continuous cast shapes that serve as a primary product for foils, sheets, profi les, tubes and other products, as well as rolled products in a variety of dimensions, qualities and compositions which are often tailored to customer requirements.

KEY ECONOMIC FIGURES IN FISCAL YEAR 2010/11

Copper price LME settlement: US $ 9,096/t (avg.)Revenues: € 13,336 millionOperating EBT: € 292 millionOperating net consolidated income: € 211 millionCapital expenditure: € 116 millionIncome taxes: € 98 millionPersonnel expenses: € 312 millionData in accordance with IFRS

Our product range includes

precision strips with very narrow

tolerances and flat copper sheets

for architectural uses. Find out

more about our products starting

on p. 18.

1 Settlement price: offi cial cash

selling rate on the LME (London

Metal Exchange), the highest

selling and most signifi cant metal

exchange in the world; the settle-

ment price is the price basis in

annual sales agreements.

Key to the symbols p. 44

Copper is our passion. We have produced and recycled copper and copper products for 146 years. Today, we are a leading integrated copper group and the largest copper recycler in the world.


OUR GROUP STRUCTUREThe Aurubis Group is managed centrally from the cor-porate and administrative headquarters in Hamburg, where the main production facilities are also concen-trated. The Group structure is oriented towards the value-added chain of copper. Three operating Business Units (BUs) form the Group’s organisational framework and provide the reporting basis.

Business Unit Primary Copper combines the facilities for copper concentrate processing and copper cathode production at the Hamburg and Pirdop sites as well as copper production at the Olen site. It also includes the production and marketing of sulphuric acid, selenium and iron silicate.

Business Unit Recycling/Precious Metals comprises the recycling activities in the Group and is responsible for the production of precious metals. The BU includes the recycling centre in Lünen, the secondary smelter and precious metal production facilities in Hamburg and companies and investments in connected business areas.

Business Unit Copper Products consists of the group-wide production and marketing of wire rod, continuous cast shapes, rolled products and specialty products. The main production sites are located in Europe, includ-ing Hamburg, Stolberg and Emmerich (Germany), Olen (Belgium), Zutphen (Netherlands), Finspång (Sweden), Pori (Finland), Yverdon-les-Bains (Switzerland) and Avellino (Italy). Outside of Europe, Aurubis produces strip made of copper and copper alloys in Buff alo (USA). Service Centres in the United Kingdom, Slovakia, Italy and the Netherlands and a global sales and distribution network complete the BU’s performance profi le.

In addition, cross-group sectors support the operating divisions with their service and administrative functions.

GROWTH – THEN AND NOWAurubis AG was founded in Hamburg in 1866 under the name “Norddeutsche Affi nerie AG” and was renamed as “Aurubis AG” as a result of a resolution passed at the company’s Annual General Meeting on 26 February 2009. Following various changes in the ownership struc-ture, an IPO was carried out in 1998. Aurubis has been represented in the MDAX and in the Prime Standard of the German Stock Exchange since 2003.

The Group has grown in the past several years in par-ticular as a result of acquisitions. The corporate base has expanded considerably due to these acquisitions and internal growth.

» On 31 December 1999, the majority interest was acquired in Hüttenwerke Kaiser AG, a company that had specialised in copper recycling. It was amalga-mated with the former Norddeutsche Affi nerie AG on 1 October 2003. The Lünen site is the Group’s recycling centre.

» With the acquisition of Prymetall GmbH & Co. KG (now called Aurubis Stolberg) and its 50 % holding in Schwermetall Halbzeugwerk GmbH & Co. KG in fi scal year 2001/02, Aurubis positioned itself further along the value-added chain and moved closer to the end customer markets.

» Aurubis took over the European competitor Cumerio in fi scal year 2007/08, thus taking the fi rst step toward internationalising the Group. Cumerio was also active in copper production and processing and had production sites in Belgium, Bulgaria, Italy and Switzerland.

» The acquisition of the Luvata Group’s Rolled Products Division (Luvata RPD) on 1 September 2011 considerably strengthened and international-ised the product business once again. With the acquisition, Aurubis has additional production sites in Buff alo (USA), Finspång (Sweden), Pori (Finland) and Zutphen (Netherlands) as well as Service Cen-tres in Zutphen (Netherlands) and Mortara (Italy) and sales offi ces in the USA, Europe and several Asian countries (see inner front fl ap).

Photos from our employee photo competition “Up close – my workplace at Aurubis”. Additional information on p. 48.

8

13 % Traffi c and

transportation

Our raw materials, our products:copper production and processing

Industries:

Construction

Electrical and electronic applications

Industrial machines and plants

Consumer goods

Traffi c and transportation

By-metals

Precious metals

Sulphuric acid

Iron silicate

Recycling material

Concentrates

Cathodes

Specialty profi les

Pre-rolled strip Strips/foils

Shaped wire

Continuous cast shapes

Continuous cast wire rod

Processors and end users

Mines and secondary markets Copper production Copper processing


for 2010

Source: Wood Mackenzie, Copper, December 2011

for fi scal year 2010/11

Aurubis salesby industries

Global copper demand by industries

Focusing on customers with high quality standards

33 % Construction

13 % Industrial machines

and plants

13 % Traffi c and

transportation

8 % Consumer goods

33 % Electrical and electronic applications

21 % Construction

20 % Industrial machines

and plants

12 % Traffic and

transportation

11 % Consumer goods

36 % Electrical and electronic applications

10

2010

May Aurubis Hamburg receives a distinction for exemplary occupational safety. The Hamburg site is ranked by the State Authority for Social Issues, Family, Health and Consumer Protection in the highest category, “Company with an exemplary occupational health system”.

p. 35 and p. 42

June “Copper 2010”The world’s largest techni-cal, scientifi c copper con-ference opens in Hamburg, supported by Aurubis.

September Fig. 1 Aurubis’ copper dragon is featured at Hamburg City Hall for “China Time 2010”

September Fig. 2 New Plant Entrance South opens at Aurubis Lünen.It is intended to be used for recycling material deliver-ies and to transport prod-ucts from the plant in some cases.

2010, p. 68

October Fig. 3 Aurubis Bulgaria opens a new production facility at the Pirdop site. The expansion of the slag fl otation plant increased the annual process slag capacity at the site from 620,000 t to about 800,000 t.

p. 75

November Fig. 4 Aurubis is confi rmed as an environmental partner of “Hamburg European Green Capital 2011”

p. 42 and p. 24

2011

February Air quality in Veddel continues to increase.Aurubis and the local environmental authority sign another environmental agreement in the Green Capital year.

p. 32

June “Aurubis Bulgaria 2014” New € 44.2 million capital expenditure programme starts at the Pirdop site.

p. 25 and p. 15, 72

June Fig. 5 17 trainees from the 9-Plus programme re-ceive a certifi cate at Aurubis. Vice President of the Hamburg City Par-liament Barbara Duden acknowledges the coopera-tion between schools and Aurubis.

p. 38

Fig. 3 Fig. 4 Fig. 5

Fig. 1 Fig. 2

2010 – 2011 overview


June Fig. 6 “The greenest company in Bulgaria”. Aurubis Bul-garia is awarded a prize for the category “Industry and manufacturing sector” for its commitment to environ-mental protection in 2010.

p. 42 and p. 19, 72

July Technical innovation in precious metal recovery reduces energy demand for drying anode slime by up to 35 % and CO₂ emissions by 460 t annu-ally. The German Federal Minister for the Environ-ment supports processes at the Hamburg site with € 328,000.

public-relations/press-releases-news/

July Aurubis offi cially launch-es KRS-Plus facilities

p. 20, 22 and p. 62

August Fig. 10 Apprentice training starts at the Aurubis sites in Hamburg and Lünen

September The new Environmental Report 2011 is published

p. 24

September Fig. 7 Acquisition of the former Luvata Rolled Products Division is completed.The progress of the inte-gration is reported in the monthly newsletter “Plus” (5 issues, from September 2011 to January 2012). The employee magazine “CU” is published in nine lan-guages starting in October 2011.

p. 2, 4, 12

September Fig. 8 Offi cial inauguration of the storage hall at the northern plant by Jutta Blankau (Senator for Urban Development and the Environment) and Dr Bernd Drouven (Chief Executive Offi cer until 31 December 2011)

p. 38


October Fig. 9VT Aurubis Hamburg is fi red up for the new sea-son with the target of making it to the champi-onship semi-fi nals. First match at the new “CU Arena” court in December.

p. 39

October Aurubis invests in a new training centre in Lünen

p. 32

December Groundbreaking ceremo-ny for a turbine to pro-duce electricity from waste heat at Aurubis. Savings of 5,000 t of CO₂ emissions annually.


December Fig. 11 Information centre opens in Pirdop, Bulgaria

p. 15

Fig. 10 Fig. 11

Fig. 6 Fig. 7 Fig. 8

Fig. 9

12

CORPORATE CONTROL

In 2008 we clearly defi ned the future strategy for the expanded company in a comprehensive development process following the integration of Cumerio. With the acquisition of the Luvata Group’s Rolled Products Division in September 2011, we took a decisive step towards implementing this strategic target.

In short, our strategy is to generate the highest value from various and especially complex raw materials with the help of the Group’s integrated competence in smelting, refi ning, metal extraction, recycling and processing.

With the acquisition of the Luvata Rolled Products Division (RPD), we have carried out an important strategic measure to develop our Business Unit Copper Products and to internationalise the business further. Aurubis benefi ts from the expansion of the product portfolio, especially in the globally signifi cant connec-tor market.

The strengthening of our production competence in the product sector is strategically relevant for two reasons in particular. On the one hand, we have access to know-how, personnel and new technologies, e. g. the vertical strip casting process. On the other hand, we can optimise the production structure by combining the new plants in Finland, the Netherlands, Sweden and the USA with the existing plant in Stolberg and thus better utilise the specifi c competitive strengths and skills of the individual sites. This also results in economies of scale and cost benefi ts.

How we integrate sustainability principles in our corporate control and our growth

A decisive step on our way to becoming the world’s leading integrated copper group

Sustainability is the foundation of our corporate development. In both our daily operating business and the implemen-tation of long-term strategic initiatives, we are oriented equally towards the three principles of responsibility, improvement and growth.

We rely on continuous improvements through innova-tive solutions in processes, products and services in order to assert and expand our leading position. We are committed to our responsibility for customers, products, employees and society as well as to a con-scientious attitude towards our environment and limited natural resources. We place a high value on our employees’ abilities and skills, as well as their training and development in the process, as only the best performance from our employees generates the high-est quality products and services for our customers.

Risks are an integral part of the Aurubis Group’s eco-nomic activities. We manage and monitor the signifi -cant risks with the help of a well-functioning risk man-agement system (RMS) that is tailored to our business activities. These risks are identifi ed early on with an implemented early warning system. Our objective is to limit negative eff ects on earnings caused by risks as far as possible with appropriate countermeasures. as far as possible with appropriate countermeasures. Our principles are defi ned in a Group guideline for Our principles are defi ned in a Group guideline for risk management .

The signifi cance of the identifi ed risks is assessed in accordance with this. Furthermore, considerable risks are analysed in more depth and assigned appropriate countermeasures. The development of these risks is also continuously tracked. The processes of the RMS are uniformly specifi ed across the whole Group. Risk management offi cers have been appointed for all sites and business sectors and form a network within the Group.

Risk management is a corpo-

rate governance function in the

Aurubis organisation. The network

is controlled by the Group head-

quarters in Hamburg. Group

Risk Management reports directly

to the Chief Financial Offi cer.

Additional information on risk

management can be found on

our website:

corporate-group/corporate-

governance/risk-management/

Additional information on our

business strategy can be found on

our website:

corporate-group/strategy/

The RMS includes all of the

main sites and business sectors

in the Aurubis Group. All

risks are recorded according to

established categories and

documented in a risk inventory.

We diff erentiate between risks

in key processes (e. g. procure-

ment, production, sales) and

risks in supporting processes

(e. g. exchange trading, fi nance,

environmental protection,

energy supply, occupational

safety, HR and IT).



CORPORATE CONTROL

Henning Michaelsen (CCO)

Phone: +49 40 7883-3952

E-mail: compliance @ aurubis.com

Additional information on the

topics presented here can be found

on our website:


governance/

Our Code of Conduct is available

on our website for our employees

and the public:


governance/code-of-conduct/

All departments involved in

procurement and sales across

the Group were trained in anti-

corruption issues and law from

June to October 2011 – about

320 people in total.

We are committed to the

German Corporate Governance

Code, which outlines signifi cant

principles for managing and

monitoring German listed

companies as well as interna-

tionally recognised standards of

good corporate governance.

www.corporate-governance-

code.de/index-e.html

Our Code of Conduct comprises our PRIMA corporate valuesand our Group guidelines .

Compliance, a signifi cant element of good and respon-, a signifi cant element of good and respon-sible corporate governance, refers to the adherence to sible corporate governance, refers to the adherence to legal standards and our internal company guidelines, legal standards and our internal company guidelines, the most important of which are included in our Code the most important of which are included in our Code of Conduct. We have appointed a Chief Compliance of Conduct. We have appointed a Chief Compliance Offi cer (CCO) for this area who focuses on prevention: Offi cer (CCO) for this area who focuses on prevention: he pays particular attention to compliance with the he pays particular attention to compliance with the guidelines in the Code of Conduct and ensures that guidelines in the Code of Conduct and ensures that they are distributed in the company. The CCO works they are distributed in the company. The CCO works with Internal Auditing among other divisions, espe-with Internal Auditing among other divisions, espe-cially when it comes to optimising processes to pre-cially when it comes to optimising processes to pre-vent possible compliance violations. He reports to the vent possible compliance violations. He reports to the Executive Board and the Audit Committee of the Supervisory Board. Every employee is authorised to inform his supervisor, the respective company manager or the CCO about violations of our company guidelines. If these actions are proven, the company can admonish, dismiss and/or demand damages from employees who have violated the guidelines. During the reporting period, corruption and compliance cases that came to light were reviewed and dealt with.

Corporate Governance: Good and responsible corpo-rate governance, which is exceedingly important to us, is only possible on the basis of common values. The good corporate governance that we practice at Aurubis is based fi rst and foremost on close and effi cient coop-eration in the top management, the Executive Board and the Supervisory Board, attention to the sharehold-ers’ interests, open corporate communication, respon-sibility in dealing with risks and proper accounting and annual auditing. We are committed to the German Corporate Governance Code Corporate Governance Code .

PRIMA, our corporate values.They consist of Performance, Responsibility, Integ-rity, Mutability and Appreciation. They were defi ned in the PRIMA project. The name PRIMA derives from the fi rst letter of each value (the German word

“prima” means “great” in English). The common values in the Code of Conduct were formulated in cooperation with employee representatives and our employees from the diff erent sites and company departments. We made the conscious decision to defi ne the binding values together. This lends them credibility so that they can be accepted and lived by everyone.

The guidelines, which all employees are obligated to follow, regulate conduct in the following areas: working conditions, environmental protection, safe-ty and health protection, competition, corruption, confl icts of interest, company property, dealing with authorities and media representatives, confi dential-ity, insider trading, security and documentation. There are still detailed group-wide and site-specifi c regulations, all of which are derived from the guide-lines established in the Code of Conduct. External companies working for Aurubis are also required to follow these guidelines. The Chief Compliance Offi cer (CCO) is available to answer any questions about the guidelines.

In November 2009 the Code of Conduct was intro-duced across the Group in six languages and every employee received a copy. Group-wide workshops with the employees expand on the values and guidelines. In addition, we will continue reporting on the five values, the guidelines and concrete examples in the employee magazine.


14

CORPORATE CONTROL

COOPERATION WITH OUR SUPPLIERSApart from primary and secondary raw materials, we purchase a broad range of other materials, investment goods and services from about 2,500 active suppliers at the moment. These materials and services are pur-chased on the basis of overarching guidelines that are broken down at every individual site.

Procurement guidelinesIn addition to copper raw materials, our supply chain includes a number of other auxiliary and operating materials, but also machines and services. For these materials, but also machines and services. For these very diff erent products, we work in accordance with very diff erent products, we work in accordance with process instructions that defi ne procedures and re-process instructions that defi ne procedures and re-sponsibilities for avoiding negative environmental eff ects and promoting occupational safety and health protection ( p. 25 and 31).

We carry out a general approval process related to environmental compatibility for environmentally relevant procurement issues at the German sites. We take a catalogue of questions on the environment and occupational safety into account when selecting suppliers. We send these questionnaires, which are developed and regularly updated by the Environmen-tal Protection department, to all new suppliers. Poten-tial suppliers that do not fi ll out the questionnaire are not considered in future tendering processes. We check the documents from Aurubis suppliers with environ-mentally relevant topics for their level of complete-mentally relevant topics for their level of complete-ness annually.

When it comes to the procurement of investment When it comes to the procurement of investment goods, additional detailed environmental protection and safety requirements for the product and the supplier are also defi ned and considered. Order place-ments are oriented towards energy and water con-sumption, emissions and the expected lifespan. The availability of important test certifi cates is also taken into account.

SECURE RAW MATERIAL SUPPLYWe have a two-pronged strategy for raw material procurement that concerns both primary and second-ary raw materials (recycling). Because of this and the distribution of the purchasing volume among a number of suppliers, we are protected from depend-ence on major individual suppliers and fl uctuations on the world market.

A good two-thirds of copper production at Aurubis results from the use of primary raw materials that we purchase worldwide – mainly from South America and Asia. Our suppliers include the largest international companies, such as Vale, Xstrata and Teck . We prefer . We prefer to develop long-term cooperation by means of agree-ments, a number of which continue for many years. We try to obtain declarations from our suppliers stating that the material they deliver was produced and/or exported under compliance with valid laws, regulations, statutes or requirements of the country of origin and that they adhere to UN sanctions or trade restrictions and UN conventions related to human rights, environ-mental protection and safety.

In contrast to primary raw materials, we mainly pur-chase our secondary raw materials from Germany and other EU countries. Procurement is largely based on short-term delivery agreements supported by purchas-ing agents, unlike that of primary raw materials. Sec-ondary raw materials now increasingly include complex end-of-life materials in addition to the classic recycling materials such as copper and copper alloy scrap and copper processing residues. In order to be able to use as many of the local secondary resources as possible in as many of the local secondary resources as possible in the scope of “urban mining” , but also the growing , but also the growing quantity of electronic scrap from the IT and telecom-munications sectors, we are expanding the processing capacities for these kinds of scrap and investing in state-of-the-art facilities.

In general, we aim for long-

term relationships or strategic

cooperation with our suppliers.

Most of our suppliers are part of

the International Council on

Mining and Metals (ICMM),

which is actively committed to

sustainable raw material

extraction. More on the ICMM’s

sustainability principles:

www.icmm.com/our-work/

sustainable-development-

framework

The principle of “urban

mining”: Buildings, infrastruc-

ture and cars have a limited

lifespan. Every city changes;

urban mining basically means

that freed-up resources are

exploited and returned to the

material cycle.

How we want to growThe “how” is important, not just the “where”



CORPORATE CONTROL

WITH OUR STAKEHOLDERSWe maintain open communication with interest groups. Our stakeholders are those with whom we have a direct or indirect relationship due to our production and business activities: employees, neighbours, customers, business partners, investors, representatives of non-governmental organisations and the scientifi c commu-nity as well as policymakers, the economy and the media.

Thoughts and information are exchanged fi rst and foremost in the context of personal discussions, forums and events. Through this dialogue, we are able to recognise internal and external risks and potential for our business activities early on and receive sugges-tions for improvement.

The most important topics focused on in the exchange are energy and raw material effi ciency and strengthen-ing competitiveness. We are aware that the stakehold-ers are not fully aware of many of our sustainability activities – we will therefore work on making the dialogue more productive. One example is our new information centres in Bulgaria (see above).

MEMBERSHIPS, INTEREST GROUPSWe are intensively involved in sustainability, for example with our membership in “Responsible Care”. Furthermore, Aurubis is a member of the German and European economic, industry and specialist associations in the copper and chemical industries, for example the Federal Association of Industry, the Economic Association of Metals and Eurometaux. Representing the interests of the company and the non-ferrous metals industry is at the forefront of our work with associations.

Environmental and sustainability issues, e. g. resource utilisation and climate protection, must be regu-lated internationally. Since copper is a globally traded, lated internationally. Since copper is a globally traded, quoted metal, we cannot pass on regional price in-quoted metal, we cannot pass on regional price in-creases at European sites (e. g. due to more bureau-creases at European sites (e. g. due to more bureau-cratic hurdles in the environmental sector or addition-cratic hurdles in the environmental sector or addition-al grid charges) to our customers. Additional one-sided al grid charges) to our customers. Additional one-sided burdens from the German or European side would burdens from the German or European side would endanger European industry and our high environ-endanger European industry and our high environ-mental standards. Our aim is thus to help shape the mental standards. Our aim is thus to help shape the legal conditions as an expert in order to strengthen legal conditions as an expert in order to strengthen environmentally friendly copper production in Europe.environmentally friendly copper production in Europe.

Energy, raw materials, environ-

mental protection, sustainability:

these are topics that are not only

relevant for Aurubis but are

discussed intensively in politics and

society. As a company that is a

member of associations and

initiatives, Aurubis can contribute

to making facts and correlations

more understandable. This only

works when you actively shape the

process and are visible as a contact

to the public. In order to intensify

this work, Aurubis will be repre-

sented in a Group Representative

Offi ce in Berlin starting 1 January

2012. Contact information p. 48.

A selection of our memberships

can be found at

corporate-group/

memberships.pdf

What we want to achieve We participate in shaping political opinions and decision making in relevant

areas, especially those dealing with raw materials, energy, environmental

protection and dismantling trade limitations.

A central issue in the current reporting period was our eff orts for free, undis-

torted raw material markets. The considerable challenges in this area include

trade restrictions, the lack of a uniform EU-wide standard and illegal scrap

exports to Third World countries. The latter not only causes a loss of valuable

raw materials for domestic industry but also leads to environmental and

health hazards in the regions concerned, where there is no organised recy-

cling and waste disposal system ( p. 41, Old mobile phones and electronic

scrap: a curse or a blessing?).

Many of our activities in the political sector take place in the context of

Eurometaux, the association of the European non-ferrous metals industry.

We provide politicians with information that illustrates trade and competition

distortions, tariff s and other obstacles for product sales as well as the specifi c

needs of our industry. The most important current measures that we have

participated in are the EU’s “Raw Materials Initiative” and the work on the

“Waste Electrical and Electronic Equipment Directive” (WEEE), which is taking

place via the European Electronic Recyclers Association (EERA) and other

organisations. The targets include unimpeded access to raw materials by com-

bating illegal exports of old appliances as mentioned above, the development

of treatment standards for secondary raw materials containing copper and

precious metals and the support of research projects related to metal recovery.

Further information on

“Responsible Care”, a global

initiative from the chemical

industry for improvements in

environmental protection,

occupational safety and health,

at: www.responsible-care.de/

In December 2011 Aurubis Bulgaria opened two information

centres in the neighbouring cities of Pirdop and Zlatitsa to

promote dialogue with those living near its facilities. The

inauguration by Nicolas Treand (Managing Director of Aurubis

Bulgaria), Georgi Nikolov (Secretary General) and Martin

Tinchev (Mayor of the Sofia region) took place with over 100

invited guests from the political and administrative sectors,

social associations and other organisations. The project

serves to implement the company’s communication and social

principles. The information centres will be open daily to

answer people’s questions and offer an event programme to

intensify the exchange – e. g. environmental protection work-

shops or projects with local schools. Furthermore, citizens

will have the opportunity to attend meetings and presenta-

tions, go online and obtain informational material in both of

the large centres.

Dialogue with our neighbours in Pirdop and Zlatitsa, Bulgaria

16

CORPORATE CONTROL

Fig. 1.1: 5-year overview

Aurubis Group (IFRS) in € million 2006/071 2007/0813 2008/091 2009/101 2009/102 2010/1124 Results

Revenues 6,469 8,385 6,687 9,865 9,865 13,336

EBIT 315 284 (28) 475 475 456

Operating EBIT/LIFO 260 382 111 286 187 327

Consolidated net income 223 171 (46) 326 326 322

Operating consolidated net income/LIFO 159 237 53 193 121 211

Net cash fl ow 259 461 645 85 85 418

Balance sheet

Total assets 1,674 2,292 2,837 3,410 3,410 4,333

Non-current assets 610 920 969 999 999 1,096

Capital expenditure 94 114 111 151 151 116

Depreciation and amortisation 58 92 106 106 106 124

Equity 914 1,141 1,029 1,310 1,310 1,740

Fig. 1.2: Our shareholder structure

Shareholder structure as of 29 August 2011

Fig. 1.3: Our stakeholder groups 1 With revaluation of inventories

using the LIFO method

2 Values “operationally” adjusted

by valuation results from the

application of the average cost

method in accordance with IAS 2,

by copper price-related valuation

effects on inventories and by

effects from purchase price

allocations, mainly property,

plant and equipment, starting

fiscal year 2010/11

3 Including Cumerio as of

29 February 2008

4 Including Luvata RPD as of

1 September 2011

Our company in fi gures

SocietyCustomersSuppliers

MediaEmployees

NGOsPolicymakers

Shareholders / capital marketScientifi c community

25 % Salzgitter AG

30 % Private investors

45 %Institutional

investors

Fig. 1.6: Sources of recycling materials

for the Aurubis Group in 2010/11

Fig. 1.5: Sources of primary raw materials

for the Aurubis Group in 2010/11


CORPORATE CONTROL

Fig. 1.4: The Aurubis Group’s Business Units 2010/11

Fig. 1.1: 5-year overview

Aurubis Group (IFRS) in € million 2006/071 2007/0813 2008/091 2009/101 2009/102 2010/1124 Results

Revenues 6,469 8,385 6,687 9,865 9,865 13,336

EBIT 315 284 (28) 475 475 456

Operating EBIT/LIFO 260 382 111 286 187 327

Consolidated net income 223 171 (46) 326 326 322

Operating consolidated net income/LIFO 159 237 53 193 121 211

Net cash fl ow 259 461 645 85 85 418

Balance sheet

Total assets 1,674 2,292 2,837 3,410 3,410 4,333

Non-current assets 610 920 969 999 999 1,096

Capital expenditure 94 114 111 151 151 116

Depreciation and amortisation 58 92 106 106 106 124

Equity 914 1,141 1,029 1,310 1,310 1,740

See the inner front flap as well

Primary Copper

This Business Unit primarily unites the activities

concerned with the production of quality copper

in the form of marketable copper cathodes from

the primary raw material, copper concentrates.

It also produces sulphuric acid.

EBIT (operating) in € million 184.2

Employees (average) 2,186

Recycling/Precious Metals

This Business Unit produces copper cathodes from

a wide variety of recycling raw materials. It also

produces precious metals and other by-metals.



Copper Products

This Business Unit processes cathodes into

copper products and markets them. End users

include the electrical engineering, automotive,

mechanical engineering, telecommunications

and construction industries.



Concentrate throughput

Aurubis Group> 2 million t

Peru 24 %

Chile 18 %

16 % Bulgaria

9 % Argentina

9 % Brazil

7 % Canada

4 % Indonesia

13 % Other countries

Germany 41 %Recycling materials

Aurubis Group630,000 t

32 % Rest of Western Europe32 % Rest of Western Europe

13 % Eastern Europe

9 % North America5 % Other countries

18

PRODUCT RESPONSIBILITY

We are one of the world’s leading providers of high-grade copper products owing to our years of experi-ence in copper production and processing. Further-more, we set worldwide standards in copper recycling on the basis of a number of diff erent starting materials.

Ongoing, extensive quality management is vital in order to continuously expand our position. This ensures our own growth but also our customers’ success by provid-ing them with consistently high-quality products.

Our commitment to quality is not all, however: for us, it is essential that we do not stick with the status quo when it comes to our product palette. We react to developments and trends on the market with innova-tive solutions, benefi tting from our many years of expertise, modern production processes and close relationships to the processing industry. The most important spheres of activity are currently production and recycling in the growing information and telecom-munications technology sector.

How we continue improving our products and production

Strategy and targetsCOPPER PRODUCTION AND PROCESSING: A LEADER IN QUALITYOur strategy is to utilise our existing capability in smelting, refi ning, metal extraction, recycling and copper processing to generate the highest value from diff erent, often complex raw materials.

In copper production, we have a strong competitive position due to our combination of concentrate processing and recycling as well as production exper-tise and integrated production processes. We are in a position to process a wide range of raw materials in an environmentally friendly fashion and to recover the essential elements they contain in a marketable form ( Fig. 2.1 and 2.2, p. 22).

In the processing sector, our focus is on products for applications with growth potential. The electrical prop-erties of copper and copper alloys, which domestic and foreign customers value, play a role in this regard. Thanks to the acquisition of Luvata RPD’s strip business, we have yet again expanded our expertise in the key areas of smelting and casting, deforming and surface treatment. With our product portfolio and a sales network that extends across Europe, America and Asia, we are one of the leading integrated groups in the global copper industry.

The areas defi ned in the strategy process gain even more signifi cance as a result of the most recent growth step: expertise and effi ciency in metal procurement and management, production and process manage-ment are just as important success factors in imple-menting our growth strategy as continuous analysis of market trends and customer needs in order to supply products that off er our customers high value added.

Copper has been highly valued since the beginning due to the chemical, physical and aesthetic properties of the material.

Our strategy: leading worldwide

European platform

Optimised stand-alone position

Global player

» Our strategy is to utilise our integrated copper production

and processing capability in smelting, refi ning, metal extraction,

recycling and copper processing and thus to generate the highest

value from diff erent and complex raw materials.

» We supply high-grade copper products.

» We focus on products for growing applications in which the

specifi c properties of copper and copper alloys, especially as

regards conductivity, generate added value for our industrial

customers in developed countries and emerging markets.

Additional information about

our products can be found on our

website:

our-business/products/




Frank Osterhagen,

Head of Central Procurement

Dr Jürgen Schmidt,

Head of Quality Management

Product Technology and Quality

Dr Michael Hoppe,

Head of Research & Development

OrganisationDEVELOPING WORK AND PRODUCTSA cross-group department is responsible for the procurement of capital goods such as machines and plants as well as consumables. It oversees process adjustments, the conclusion of framework agreements and the organisation of international procurement. A coordinated procurement strategy and the introduc-tion of a lead-buyer organisation ensure that econo-mies of scale are utilised and that there is a uniform image on the procurement markets. Overarching topics are coordinated in regular meetings with the heads of procurement.

Quality policies are prescribed by the Executive Board and implemented in individual sectors by Quality Management. The quality management system is certifi ed in accordance with the international standard DIN EN ISO 9001 at all production sites. All products are subject to a comprehensive quality inspection. We monitor and ensure the observance of provisions from standards or customer specifi cations with modern process control and quality assurance systems. The sites’ quality management is coordinated by Dr Jürgen Schmidt in accordance with the standards from the responsible Executive Board member Dr Stefan Boel and monitored with quality indicators.

Research & Development (R & D) is organised across the Group and is broken down into Primary Copper, Recycling/Precious Metals and Copper Products according to our Business Units ( Fig. 2.4 and 2.5, p. 23). R & D works closely together with the Product Technology, Quality, Engineering and Marketing and Sales departments. Apart from short-term measures in daily business and continuous process and product improvement, R & D’s responsibilities increasingly include long-term projects to develop innovative processes and products as well. The Innovation Man-agement team also provides support in this regard, contributing to the generation of new ideas and concepts.

ChallengesINTEGRATION, GROWTHAurubis has gained access to new fabrication know-how, applications and market information as a result of its acquisition of Luvata’s rolled products business.

The integration of the Luvata Group’s former Rolled Products Division into the Business Line “Flat Rolled Products & Specialty Wire” will be one of the central tasks of the coming year. Aurubis’ profi le as one of the leading companies in these markets will be further intensifi ed with the development of a comprehensive sales and market strategy for the new business line. In the scope of our long-term targets in this industry, we will continue to develop a sustainable strategy that supports further growth.

From a long-term perspective, the strategy of becoming a global player ( Fig. “Our strategy: leading world-wide”, p. 18) should be communicated and implement-ed at every site. Each site must carry out the global strategy locally, for example while taking an important customer’s standards into account.


20


COPPER, A QUALITY PRODUCTIn order to produce over 99.99 % pure copper, we subject it to a multi-step refi ning process and a com-plex electrolysis process. Only then can it completely develop its mechanical and chemical properties to fulfi l the processing industry’s high requirements, particularly optimal electrical conductivity. The refi ning process was developed by the chemist Emil Wohlwill (1835 – 1912) in our company, the fi rst in the world to produce high-purity copper on an indus-trial scale starting in 1876 – about 8 t annually com-pared to 1.1 million t today.

Recycling materials also deliver high-purity copper, as the metal can be recycled as often as desired without a loss of quality. We process residues from the non-ferrous metals industry, waste and old appliances into high-value copper products. About one-third of our copper output is produced from recycling materials –conserving resources is the most natural thing in the world for us.

The copper cathodes produced at the Hamburg, Lünen, Olen and Pirdop sites are of excellent quality that exceeds the metal exchanges’ requirements. We usually process copper cathodes into products ourselves but can also off er them on the London Metal Exchange or sell them to trade and industry.

RECYCLING COPPERAurubis processes a number of diff erent secondary raw materials. The processing capacity of our recycling centre in Lünen for complex raw materials was increased by about 100,000 t annually in 2011. This was achieved with KRS-Plus, an expansion of the exist-ing plant with a top blown rotary converter (TBRC,

Fig. 2.3, p. 22, p. 49). The primary aim of KRS-Plus is to increasingly process complex secondary materials such as electric and electronic scrap, which is collected separately in Europe in accordance with legal stand-ards. We have environmentally friendly, effi cient recy-cling options for these materials and are able to re-cover a wide range of elements in addition to copper: apart from precious metals like gold and silver, non-ferrous metals such as tin, lead and nickel also play a signifi cant role.

Every year we process 630,000 t of recycling raw materials, which comprise roughly equal amounts of scrap containing high amounts of copper and complex materials. Over 70 % of the materials come from Germany and Western Europe ( Fig. 1.6, p. 17).

Aside from the extensive use of secondary raw materi-als for metal recovery, today a number of consumables like iron, sand and fuels are being replaced with second-ary raw materials where it is technically possible.

All chemical materials have

been registered at the European

Chemical Agency in Helsinki in

accordance with the European

REACH directive since 1 December

2008. Aurubis is committed to

implementing the directive at all

of the sites. You can fi nd addi-

tional information about REACH

in our Environmental Report 2011

( p. 112).

The amount of gold and silver

from recycling of course depends

on the input materials that we

procure. The rate fl uctuates from

year to year – however, it can be

said that up to 50 % of our pre-

cious metal output comes from

recycling.

Lifecycle analysis for copperThere is a constantly increasing need for current and reliable information related to the lifecycle

of competing materials, especially in the construction and automotive industry, but also among

regulators, NGOs and research institutes. In 2005 the copper industry reacted to this market

demand by providing adequate lifecycle-related data for various copper products, such as

copper sheet, wire and tube.

You can fi nd the lifecycle analysis at

www.copper-life-cycle.de

The data is scheduled to be updated.




You can fi nd additional informa-

tion and the complete risk analysis

on the European Copper Institute’s

website at www.eurocopper.org

RESEARCH AND DEVELOPMENTInnovations are exceedingly important to us, as they secure our future economic success. Only innovations enable us to keep up with changing conditions, e. g. stricter environmental requirements, rising energy prices and increasing competition. Therefore, we inten-sively carry out research and development work in order to optimise products and processes continuously.

Primary copper production, recycling, precious metals: increasing effi ciency. In the primary copper production and recycling and precious metals sectors, the focus of the work is on adjusting production processes to increasingly complex input materials, e. g. concen-trates, electronic scrap and other recycling materials. In addition, we are working on optimising procedures to process by-products of copper production to make a contribution to resource conservation by utilising recyclable materials as best as we can.

Processing copper into products: customer orientation.In the copper processing sector, developing optimised copper products is very important in addition to im-proving fabrication processes. We work closely with the product technology and quality sectors as well as marketing and sales and use our close contact with our customers as a source of ideas for product innovations.

Innovation: a strategic task. Strategic decisions have to be made in order to shape innovation activities consciously. Our Innovation Management team, which is made up of employees from diff erent departments and sites, is responsible for establishing innovation policies in this area. It works together across func-tions, thus increasing innovation success ( Fig. 2.6, p. 23).

FOR OUR CUSTOMERSFirst-class customer service: We off er comprehensive commercial and technical customer service. Our com-petent, multilingual team strives to fi nd a tailored solu-tion for every problem quickly. We take on even the most demanding customer needs by developing suit-able materials and optimal solutions for individual appli-cations. Training, seminars and workshops round off our range of services. In technical matters, our experienced engineers support customers on site as well. Further-more, Aurubis can ensure reliable, punctual delivery and react professionally and fl exibly to last-minute enquiries. Should complaints arise, we react to them as quickly as possible. Complaints are already processed uniformly across all the Group's sites in Business Line Rod & Shapes. We are currently working on a consistent complaint management system for all of the Aurubis Group’s product lines.

Customer health and safety: Our copper products are made of high-purity copper materials that do not present any particular hazards to the environment and humans. The numerous applications in the food and health sectors prove this. We make a safety data sheet available to our customers but also an inspection certifi cate for every delivery that indicates the exact chemical composition of the goods. Moreover, the applicable load restraint regulations and the maximum permitted loads for the method of transportation are strictly observed during the transport of our goods in order to avoid hazards of any kind in shipping and unloading. When it comes to packaging and stowage materials, we make sure that the relevant regulations are already observed when purchasing those materials. When the hot or cold forming process is carried out correctly, processing does not lead to any specifi c hazards for customers, either.

Industrial risk analysis for copperIn 2000 the copper industry initiated a voluntary risk analysis for copper, copper dust and

copper components in order to demonstrate the safety of their products for humans and the

environment. The extensive analysis dealt with all aspects of the copper value-added chain.

In cooperation with the EU, all of the emissions during production, use and disposal were

determined and their eff ects on humans and the environment were analysed. The fi nal report

published in 2008 confi rmed the harmlessness of copper and was used by the copper industry

as the basis for implementing the REACH directive.

You can fi nd additional

information on R & D at

/corporate-group/research/

Our cooperation with metal-

lurgical universities was expanded

to include cooperation with

chemistry, process technology and

metrology institutes. The partner-

ships encompass the whole spec-

trum of bilateral projects, from

doctoral scholarships to publicly

funded work, e. g. by the Federal

Ministry of Education and Re-

search. Additionally, the company

has very close contact with plant

construction fi rms and technology

developers.

22


Submerged lance furnace TBRC 3

Kayser Recycling System (KRS)Sampling,

material preparation

Iron silicate sand

Zinc-bearing KRS oxide Tin-lead alloy

Slimes

Residues

Electronic scrap

Alloy scrap

Black copper (80 % Cu)

Converter copper (95 % Cu)

Tin-lead rotary furnace

Our products in fi gures and graphics

Fig. 2.3: Multi-metal recycling at the Lünen site

Fig. 2.1: Output by product groups

in 1,000 t in 1,000 t in t in 1,000 t in 1,000 t in 1,000 t

Cathodes Continuous cast Gold Continous Pre-rolled strip 1 Sulfuric acid 1 wire rod Silver cast shapes Strips and Iron silicate 1 shaped wire 2

1,086 1,144 1,147 622 766 785 1,263 1,377 1,409 153 210 197 184 260 253 2,124 2,071 1,966 764 794 809

08/09 09/10 10/11 08/09 09/10 10/11 08/09 09/10 10/11 08/09 09/10 10/11 08/09 09/10 10/11 08/09 09/10 10/11

Fig. 2.2: Revenues by product groups

in € million

Cathodes Continuous cast Precious metals Continous Pre-rolled strip Chemicals and wire rod cast shapes Strips and Other shaped wire

2,036 2,361 2,961 2,176 3,780 4,911 1,327 1,930 3,046 415 822 1,137 121 139 427 612 833 854

08/09 09/10 10/11 08/09 09/10 10/11 08/09 09/10 10/11 08/09 09/10 10/11 08/09 09/10 10/11 08/09 09/10 10/11



Raw materials

Copper products

By-products

Anode furnace Anode casting plant Copper tankhouse

Nickel sulphate

Anode slime Precious metal production

Copper scrap

Anode(~ 99 % Cu)

Cathode(> 99.995 % Cu)

Fig. 2.6: Our Innovation Management activities

1 Sales

2 Incl. Luvata RPD as of

1 September 2011

3 Top Blown Rotary Converter

06/07 07/08 08/09 09/10 10/11 06/07 07/08 08/09 09/10 10/11

Fig. 2.4 R & D expenditure

in € million

5 6 7 8 8

Fig. 2.5: R & D employees

Number

25 29 32 36 38

Increasing effi ciency

(energy supply, costs, environment, administration)

for sustainable growth

Innovative methods

and processes

Increasing fl exibility

in complex raw material

processing

Developing copper

products, services

and technologies

Diversifi cation in the

by-metals sector

Innovation targets

1

2

4 3

5

24

ENVIRONMENTAL PROTECTION

Strategy and targetsA WORLD LEADER IN TARGET-ORIENTED ENVIRONMENTAL PROTECTIONAt Aurubis, environmental and climate protection is one of the core targets of our sustainability eff orts and is enshrined in our company guidelines.

We are constantly improving our environmental per-formance with state-of-the-art technology. Beyond compliance with legal requirements, voluntary com-mitments such as the chemical industry’s “Responsible Care” initiative and participation in the non-ferrous metal industry’s “Metals pro Climate” initiative are metal industry’s “Metals pro Climate” initiative are important instruments for Aurubis for sustainable important instruments for Aurubis for sustainable development and maintaining resources for future development and maintaining resources for future generations.

At Aurubis, we also develop innovative and energy-At Aurubis, we also develop innovative and energy-effi cient plant and process technologies that establish effi cient plant and process technologies that establish new benchmarks worldwide. You will fi nd several new benchmarks worldwide. You will fi nd several completed projects here as examples.

An important medium for Aurubis’ environmental cover-age is the annual Environmental Report, which describes the Group’s environmental performance. More extensive information on environmental protection during the reporting period is available in the Environmental Report 2011. We refer to the corresponding passages in the Environmental Report 2011 with this symbol .

Environmental and climate protection encompasses a broad scope of duties, and every site has its own individual challenges. We report separately on site-specific measures, successes and targets in our Environmental Report.

How we assume responsibility for environmental and climate protection in our company

Air – target: reducing air emissions

Examples of scheduled measures:

(1) “Aurubis Bulgaria 2014” programme

(2) Agreement with the city of Hamburg to continue

reducing dust emissions by 9 t annually

Water – target: improvement in water pollution control


(1) Operating new water treatment plants (Pirdop, Lünen)

(2) Redeveloping the wastewater network at the Cablo site in Fehrbellin

Environmental protection targets until 2014

Noise – target: reducing noise emissions


(1) Erecting a noise barrier in Olen

Climate protection – target: continued reduction in CO₂ emissions


(1) Aurubis’ contribution to Hamburg’s climate protection programme

(2) Constructing a turbine to utilise waste heat in Lünen

(3) Optimising suction plants at Schwermetall Halbzeugwerk

Waste – target: increasing the recycling rate


(1) Stronger marketing of fayalite in Pirdop

(2) Optimising the separation plant at E.R.N.

Group environmental

protection targets



on our website

responsibility/environment/


The Environmental Report 2011 is available as a PDF download:

www.aurubis.com/environmental_report



OrganisationINSPECTION, IMPROVEMENT, CERTIFICATIONChief Executive Offi cer Peter Willbrandt and Head of Environmental Protection Dr Karin Hinrichs-Petersen are responsible for the strategic orientation of envi-ronmental protection in the Group. The environmental tasks at the respective sites are overseen by Environ-mental Protection Offi cers.

A uniform environmental protection standard was created with the participation of employees, plant managers/managing directors and the Executive Board, codifi ed in a set of group guidelines Board, codifi ed in a set of group guidelines and implemented across the Group in the scope of the implemented across the Group in the scope of the environmental management systems (ISO 14001 and EMAS).

The key environmental protection factors, which are uniform for the Group, are reviewed and certifi ed annually.

There is a group-wide exchange in the environmental protection sector, and the employees are trained regularly on environmentally relevant topics.

Emergency plans and alarm and danger prevention plans have been established for emergencies and accidents. This ensures that negative eff ects on the environment are actively avoided and that the em-ployees and the general population are protected. We carry out routine training sessions and emergency drills, documenting and evaluating them. Accident and emergency planning takes place in coordination with the responsible authorities.

ChallengesGROUP-WIDE HARMONISATIONBy continuously developing projects to increase recy-cling and energy effi ciency and climate and resource protection, we consistently pursue the aim of sustain-able – and sensible – improvement.

Aurubis produces copper with state-of-the-art plant technologies at a very high level of environmental protection and conserves natural resources. These sustainable economic activities to protect the environ-ment and maintain raw materials for future generations make the company a role model and may not be endan-gered by one-sided burdens on European industry. Topics like resource utilisation and climate protection must be regulated worldwide. Copper is quoted on the metal exchanges and traded internationally, so price increases in Europe may not be passed on to customers ( p. 3, 15). Aurubis is aware of the challenges that would result from global climate change. We can imag-ine the possible eff ects of extreme weather situations, e. g. heavy rains.

The former Luvata sites that joined in 2011 were also integrated into Group environmental protection ( p. 19). After the good experiences during the inte-gration of the former Cumerio sites in 2008, it is im-portant to closely examine how the environmental protection situation at the new sites can be developed further. Economic aspects must also be taken into consideration in the process.

Every Aurubis site sets central environmental targets and has introduced or planned corresponding environ-mental measures. The Environmental Report 2011 provides an overview of these measures and targets and the level of achievement at the beginning of the respective site chapters.

We have implemented new projects which will contribute to increasing

resource effi ciency in the coming years, such as the KRS-Plus project in Lünen

and a new off -gas cleaning system in Pirdop. Targets for further improving

environmental protection have been established across the Group ( p. 24).

The project “Aurubis Bulgaria 2014”, which started on 21 June 2011, is

especially important for environmental protection. This project comprises

capital expenditure measures amounting to € 44.2 million, in the primary

copper production sector. The environmental protection measures in this

project account for 60 % of the total capital expenditure, or more than

€ 26 million. The objective of these environmental protection measures is the

continued reduction of fugitive emissions in particular. The plan is to further

enclose plant sections, collecting exhaust air and cleaning it in fi lter facilities.

Another signifi cant measure is the construction of a new cleaning plant for

more SO₂-rich auxiliary hood off -gases. The whole project is intended to be

implemented by 2014 ( p. 15 and 72). Aurubis Bulgaria was awarded the

environmental prize “The greenest companies in Bulgaria” for its long-term

commitment in environmental protection ( » p. 11).

The Group Environmental

Protection Guidelines describe

environmental protection

targets and provide the founda-

tion for calculating key environ-

mental protection factors and

for reporting; additionally, they

defi ne responsibilities in the

Group, the duties of the Group

Environmental Protection

department and the collabora-

tion with local Environmental

Protection Offi cers and manag-

ing directors/plant managers.

Dr Karin Hinrichs-Petersen,

Head of Group Environmental

Protection and Environmental

Protection Hamburg

Examples of innovative and energy-effi cient plant and process technologies at Aurubis that set new international benchmarks

26


Source: Brook Hunt 2011 /

Aurubis data

International

copper smelters (avg.):

307 kg SO₂ / t Cu

European copper smelters

(avg.): 41 kg SO₂ / t CuAuru

bis Bulgaria

: 7 kg SO₂/t

Cu

Aurubis

Hamburg: 4

kg SO₂/t C

u

Highest environmental standards worldwide

SO₂ emissions from copper smelters in kg SO₂/t of copper output

ENVIRONMENTAL PROTECTION MEASURES AT OUR SITESInvestments in environmental protection One requirement for sustainable environmental protec-tion is investment in state-of-the-art environmental and plant technologies. Therefore, an average of about one-third of total capital expenditure has been used for environmental protection in the Aurubis Group during the past several years. Aurubis thus has a top position worldwide in climate and environmental protection in primary and secondary copper production and process-ing copper into products (such as rolled sheet, wire and continuous cast material).

About € 370 million has been invested in environmental protection measures in primary and secondary copper production since 2000 ( Fig. 3.1, p. 28; Capital ex-penditure by sites in ). This capital expenditure amounted to over € 80 million in 2010 alone. The focus was reducing emissions to air.

Further reduction in emissions to airAs an energy-intensive company, Aurubis feels espe-cially committed to improvements in climate protection. We therefore invest in energy-effi cient plant technolo-gies, individual measures to save additional energy and voluntary projects, such as the city of Hamburg’s climate protection programme, at all sites. This long-term in-volvement is successful: we have signifi cantly reduced our CO₂ emissions at every location. Energy manage-ment systems have been developed, introduced and certifi ed by the TÜV. A number of measures to increase energy effi ciency have been implemented, which is refl ected in the consolidated climate protection indicators for copper production in the Aurubis Group. The ongoing positive trend continued in 2010, when the particularly harsh winter is taken into account ( Fig. 3.2 und 3.3, p. 28).

The Aurubis Group is currently one of the most environ-mentally friendly and energy-effi cient copper producers in the world. Energy effi ciency and climate protection are constantly developed and improved at all sites in the Group.

This is illustrated in the comparison of sulphur dioxide This is illustrated in the comparison of sulphur dioxide emissions with other primary copper producers ( Fig. above). To achieve these kinds of results, Aurubis has consistently pursued the target of making further improvements in environmental protection with continuous investments for many years. The success is directly evident in the emission trend in Aurubis’ primary copper production sector – this has decreased by over 80 % since 2000 ( Fig. 3.4, p. 28).

The consolidated key environmental protection fi gures for primary and secondary copper production exhibit this success in specifi c dust emissions as well – a 94 % reduction has been achieved since 2000 ( Fig. 3.5, p. 28).

Water withdrawal and wastewaterWe use water for the production processes and for cooling purposes. Where it is possible, we use river water in order to conserve natural potable water resources. Economical water consumption is one of our objectives. For example, Aurubis has reduced its specifi c potable water consumption in copper production by 41 % since 2000 ( Fig. 3.6, p. 28).

Considerable improvements have also been made in water pollution control. Since 2000, metal emissions to water in Aurubis’ copper production sector have copper production sector have decreased from 7.2 to 4.6 g per tonne of copper output, decreased from 7.2 to 4.6 g per tonne of copper output, or by more than one-third. Most of the metal emissions or by more than one-third. Most of the metal emissions come from copper and zinc.

SO₂ emissions are relevant

fi rst and foremost for primary

copper production (Hamburg

and Pirdop sites) due to the

processing of sulphurous ore

concentrates.

This sector comprises copper

production from primary and

secondary raw materials in

smelting processes (Hamburg,

Pirdop, Lünen and Olen sites).



For example, the construction

of a new plant entrance in

Lünen not only reduced truck

traffi c to the Aurubis plant on

Kupferstrasse by 70 % ( p. 10).

In addition, about 27,500 m² of

land bordering the plant premis-

es was purchased by Aurubis

and the city of Lünen. A 260 m

long and eight meter high noise

barrier was built on a total area

of 6,300 m² for the residential

area being developed on the

border to the new southern

plant entrance. A covering of

trees and bushes is now being

developed with native oaks and

hornbeams in a 15,000 m²

reforestation zone. These

ecological measures improve

biodiversity. Furthermore, the

immission levels during the day

and at night are more than 10

dB(A) below the legally permit-

ted noise immission reference

values at all recording points on

Bergstrasse and Kleine Berg-

strasse. This is one example of

how we recognise possible noise

pollution early on and employ

eff ective countermeasures

( p. 55 / 56).

Resource conservation The European Commission established resource con-servation as a key issue in 2011. Environmental protec-tion should extend beyond avoiding and reducing emissions. Progress in resource conservation should be targeted by increasing material effi ciency and more eff ectively recycling waste in particular. On the na-tional level there is already a draft of the German resource effi ciency programme, which aims to double raw material productivity by 2020, based on the 1994 values – especially by increasing recycling rates.

Non-ferrous metals such as copper are not used up; they are recycled again and again without a loss of quality, therefore fulfi lling sustainability and resource effi ciency requirements to a great extent. The high metal price already presents a very effi cient control medium for natural resource conservation. Nearly all raw materials are converted into marketable products at Aurubis.

Waste prevention and recyclingEnvironmentally friendly copper production from primary raw materials and multi-metal recycling form the basis of an adequate copper supply in Europe. We pursue target-oriented, precautionary environmental protection with state-of-the-art technology. Aurubis procures raw materials from more than 50 countries procures raw materials from more than 50 countries worldwide with a focus on Europe. A number of recy-worldwide with a focus on Europe. A number of recy-cling raw materials, for example circuit boards, copper tubes and electronic scrap, are purchased and proc-essed in the scope of Aurubis’ multi-metal recycling ( Fig. 3.9, p. 29).

A total of 3.3 million t of raw materials were used in primary and secondary copper production at Aurubis in 2010. About 860,000 t of this were made up of recycling materials, or more than one-fourth of the materials used. The proportion of recycling materials in the raw material input has continuously increased from 19 % to 26 % in the past fi ve years ( Fig. 3.7, p. 29).

The expansion of recycling in the Group helps to close material cycles in an environmentally friendly way and thus makes an important contribution to resource conservation and sustainable development.

Waste is eff ectively avoided and recycled in an environ-mentally sound manner as far as possible. The recycling rate for production-related waste reached up to 99.8 % across all the Group's sites in 2010.

Overall, about 120,000 t of waste accumulated in the copper production process at Aurubis. More than half (62,000 t) came from construction measures in the course of various building projects, for example the KRS-Plus project at the Lünen site. A total of 37 % of the remaining production-related waste (58,000 t) was recycled ( Fig. 3.8, p. 29).

In primary and secondary copper production, 17 kg of production-related waste are produced per tonne of input material. Therefore, 98.3 % of the input materials are utilised and almost completely converted into mar-ketable products.

Biodiversity and soil conservationAs a matter of principle, we do not use any land in protected areas with high levels of biodiversity. We try to maintain green areas on our plant premises, expanding them further where this is possible expanding them further where this is possible .

Aurubis actively conserves soil across the Group, for instance with technical measures to counteract the discharge of materials and liquids that are hazardous to water. There are soil impurities typical for industrial areas on our plant premises owing to many years of industrial use. Technical measures in particular are used to counter the mobilisation and spread of these impurities.

Promoting electromobility projectsIn May 2011 the Hamburg Senate, together with the German Federal Ministry of Transport,

companies and industrial partners from the automotive industry, transferred 35 electric cars

to companies and institutions in the city. The central objective of the model project is to exam-

ine and advance electric cars in practice.

Aurubis participates in this project and invested in a Fiat Fiorino, which was converted to an

electric drive by the Hamburg company Karabag.

28


The following graphics are related to primary copper production or copper production in the Aurubis

Group (see the titles).

SO₂ emissions are relevant fi rst and foremost for primary copper production due to the processing

of sulphurous ore concentrates. Primary copper production describes copper production from primary

raw materials, i.e. copper concentrates, and takes place at the Aurubis sites in Hamburg and Pirdop.

Copper production in the Group means copper production in smelting processes from primary and

secondary raw materials and takes place in Hamburg, Pirdop, Lünen and Olen.

Fig. 3.1: Capital expenditure and operating costs for environmental protection measures

in € million in copper production in the Aurubis Group

105.6 115.4 125.7 128.0 148.2 33.3 83.4 30.7 10.4 11.7 10.0 23.1 38.4 19.6 27.5 81.5

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

Fig. 3.4: Specific SO₂ emissions

in kg/t of primary copper output in the Aurubis Group

34.8 35.4 19.4 10.6 7.3 8.0 7.6 8.1 6.0 6.8 6.7

Fig. 3.5: Dust emissions

in g/t of copper output in the Aurubis Group

1,291 1,350 861 316 211 205 218 209 90 82 80

2000 2005 2010 2000 2005 2010

Fig. 3.6: Specific potable water consumption

in m3/t of copper output in the Aurubis Group

1.4 1.2 1.3 0.9 0.8 0.8 0.8 0.7 0.8 0.8 0.8

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010

1 The increase in fuel-related

CO₂ emissions in 2010 is a result

of the especially harsh winter,

which led to a high heating

energy demand.

-81 % since 2000 -94 % since 2000

-17 % since 2000

-41 % since 2000

Our environmental protection achievements in fi gures

Fig. 3.3: Specific energy consumption

in MWh/t of copper output in the Aurubis Group

0.9 1.0 1.1 1.0 0.9 1.0 0.9 0.9 0.9 1.0 1.0 1.4 1.1 1.1 1.1 1.0 1.0 0.9 0.9 0.9 0.8 0.9

Fig. 3.2: Fuel-related CO₂ emissions

In t/t of copper output in the Aurubis Group

0.32 0.25 0.26 0.25 0.24 0.23 0.21 0.21 0.21 0.20 0.221

2000 2005 2010

-32 % since 2000

2000 2005 2010

Secondary energy Primary energy

Operating costs (recorded since 2006)

Capital expenditure



RECYCLING

FABRICATION

Final productsIndustrial and consumer goods

Collecting, separating, sorting,treating

Products

End-of-life products

Secondary copper production

Primary copper production

CathodesCathodes

ComponentsComponents

Kayser Recycling

SystemRecyclingRecycling

RESOURCE CONSERVATION IN TRANSPORT Our primary raw material suppliers process mined copper ore

(copper content of 0.5 to 4 %) into copper concentrate, usually on

site. Therefore, there is not any signifi cant transport for the ore.

The concentrate (copper content typically 30 %) is then shipped via

waterways to Europe, if applicable. We always make sure that our

logistics partners use ships that comply with the highest safety

requirements. When it arrives in Europe, the concentrate is trans-

ported to the sites on inland ships or in railway wagons.

Around one-third of Aurubis’ copper output is based on recycled

copper scrap and other recycling materials. Environmentally friendly

recycling conserves resources and is further enhanced by the supply

sources, which are located close by in many cases: approx. 90 % of

processed secondary raw materials come from European countries

( Fig. 1.6, p. 17).

A total of 75 % of the products Aurubis fabricates are transported

via railways or waterways. This is also true for the sulphuric acid

produced in Hamburg and Pirdop. We pay attention to carriers’

maximum load and, if possible, off er return loads in order to avoid

empty runs on the service provider side. The best example is the

so-called “anode train” from Pirdop to Olen, which only used to

transport our anodes from Bulgaria to Belgium and then return

empty: today, the wagons transport household appliances back to

Eastern Europe.

Fig. 3.8: Disposal of waste from copper production

Waste disposal in the Aurubis Group in t p. a.

Total production waste 48,461 52,085 55,876 56,147 57,980Quantity recycled 22,192 26,754 25,637 20,315 21,650

2006 2007 2008 2009 2010

Fig. 3.10: Means of transport in 2011

Transports from Aurubis (group-wide)

Rail Water Road (container and inland ships)

25 % 50 % 25 %

Fig. 3.9: The copper cycle

(Additional information on recycling and fabrication in the Aurubis Group(Additional information on recycling and fabrication in the Aurubis Group » p. 22/23)

Fig. 3.7: Raw material input in copper production

Proportion of recycling materials in the Aurubis Group’s raw material input in million t

Primary raw materials 2.65 2.63 2.72 2.67 2.46Recycling materials 0.61 0.65 0.71 0.79 0.86

Recycling materials in % 19 % 20 % 21 % 23 % 26 %

U S A G E

2006 2007 2008 2009 2010

How we view our role as an employer

30

RESPONSIBILITY FOR OUR EMPLOYEES

Strategy and targetsIMPROVING TOGETHERWe view ourselves as a responsible employer and are proud of our good relationships to the employee repre-sentatives. We maintain open and close communication with our employees and include them in the develop-ment of the company.

In order to take the internationalisation of our group into account, we created a new, overarching personnel strategy in 2009. It is derived from the corporate strat-egy and is consistently applied by HR Corporate and the HR departments in the individual countries and implemented in modern management. Central aspects of the strategy are the topics of global management, growth, employee involvement and abilities, personnel costs and employer appeal. Our personnel strategy is therefore oriented to our business as well as interna-tionalising the Group.

Not only the leadership guidelines introduced in 2010 implement the personnel strategy: the Leadership Pro-gramme fi rst carried out in 2011 represents a signifi cant step on the path to an Aurubis-specifi c management culture ( p. 32). Strategic personnel instruments and services as well as individual instruments for our em-ployees are at the forefront of the implementation plan for the personnel strategy ( p. 32).

All Aurubis employees are called on to follow the group-wide applicable corporate values and our binding Code of Conduct in their daily work ( p. 13). In this way, we promote cooperation between staff members. Consistent conduct and integrity among our employ-ees is more important than ever to reinforce trust and exchange between the individual sites.

(Excerpt from the employee magazine “CU”)

“How do you experience Italy and the work there? What are the diff erences?” “There are a few. In German, communica-tion is much more direct and objective, while in Italy, you don’t address problems directly but instead ‘package’ them up more. In Germany, trust in a business partner results from his performance and professional competence. In Italy, trust in another person is developed before working together on an objective level. We’re used to working in a linear manner in Germany, even when multiple projects are going on at once. In Italy, a lot happens at the same time and not always at the same tempo. The issue of hierarchy is also very diff erent in Italy. A supervisor here carries all of the responsi-bility and only he is entitled to sign important documents.”

“Did you have growing pains?” “At fi rst it was necessary “Did you have growing pains?” “At fi rst it was necessary “Did you have growing pains?”to fi ght through a jungle of bureaucracy, which really isn’t easy in Italy: the apartment search, getting an entrance permit, registering gas, water and electricity – it was good that I had help from a relocation agency through Aurubis! I had a friendly reception from colleagues. In the mean-time, we sometimes do things together in our free time.”

How are you benefi ting from this time?” “From a profes-sional perspective, this is an unbelievably exciting time for me, with insights into other operations and processes. I’m learning a lot about diff erent structures and am gaining a more global view of the Aurubis world overall. I can there-fore say that I recommend a job switch like this to anybody. On a personal level, I of course benefi t a great deal from living in another culture. It’s also really fun not to react in a typically German way for once!”

Thank you very much, Mr Mirko Thierbach.

(Top row, from l. to r.)

Guiseppe Lombardi,

Mirko Thierbach, Guiseppe Marino,

Vincenzo D’Amico,

(bottom row, from l. to r.)

Antonella Fattorusso, Gianpaolo

Antonacci, Maurizio Lucivero,

Ouda Verhoogen, Antonio de

Blasio (General Manager)

Mirko Thierbach (born 1982)

graduated from the Hamburg

Economics Academy after com-

pleting a dual degree program

from 2002 to 2005 and worked in

purchasing at Aurubis Hamburg

from 2005 to 2011. He gathered

experience abroad in the Group

in 2008 during a three-month stay

at Aurubis Bulgaria in Pirdop while

he completed his bachelor’s degree.

He became Lead Buyer for IT and

chemical products at the Ham-

burg site following the acquisition

of Cumerio.

From Hamburg to Avellino: In summer 2011 Mirko Thierbach switched from the Group headquarters in Hamburg to work as Head of Purchasing at Aurubis Italia. A discussion about living and working in another culture.

There are laws on non-discrimi-

nation in the workplace and in

civil law in all of the countries

where our sites are located based

on the European Union’s non-

discrimination directives. Our

group-wide applicable Code of

Conduct introduced in November

2009 and our corporate values

serve as the basis for respectful

communication.



ChallengesINTEGRATION, GROWTHFollowing the acquisition of the Luvata Group’s former Flat Rolled Products Division, the Aurubis Group employs 6,300 people, 56 % of whom work in German plants and 44 % of whom work in other countries. This increase in employees means an increase in expertise and cultural diversity. The integration of this potential will continue to require our attention in the coming year.

In light of these developments, the Functional Integra-tion Team Human Resources (FIT HR) was established with representatives of Aurubis and the former Luvata RPD. The team created an action programme with various personnel focuses in order to successfully sup-port and develop the management of the new Business Line (BL) Flat Rolled Products & Specialty Wire.

The central goal of the integration is to incorporate the employees, enable good cooperation and support the management in its responsibilities in line with corpo-rate values and business requirements. About 50 man-agers in our new BL have already participated in man-agement reviews to identify strengths and development potential. The next step is the creation of a personnel action plan and individual development plans on the basis of the results.

The main challenges in developing and implementing the personnel action plan are taking into account the changes associated with restructuring and appropri-ately assisting the employees that will be aff ected by relocations of production.

Because of the noticeable eff ects of demographic change in Germany and Europe, there will also be a focus on drawing specialists and managers as well as on high-quality vocational training. We will continue to accept this challenge ( p. 32).

OrganisationPERSONNEL STRATEGIES FOR THE FUTUREAll overarching activities related to our employees have been managed by the group-wide corporate function Human Resources (HR) since 2008, which is under Director of Industrial Relations Dr Michael Landau. The HR Corporate division is involved with implementing and monitoring the new personnel strategy, modern HR instruments, a new compensa-tion system for the management, international per-sonnel involvement and individual assistance to upper management in the Group.

Important HR topics are regularly discussed by HR management together with the Works Council repre-sentatives. These topics have included the partially reduced working times due to weaker demand in 2009, demographic change and working life. We work closely with the employee representatives in order to make socially responsible decisions that are accepted group-wide ( p. 33).

The direct supervisors or the management of the respective sites are responsible for assistance, per-formance evaluations and development planning for employees. Their HR work is oriented to the standards provided by the central HR department in order to ensure uniform standards.

We started setting up a management system for occu-pational safety, health protection and health promotion in 2010 ( p. 33). We thus ensure a common level of quality in our growing, internationally active company. Our principle: all of the local legal requirements in the safety and health protection sector must be fulfi lled at the least. Our internal standards extend beyond the legal requirements where this makes sense.

Julia Rosenkranz,

Head of HR Corporate




on our website

responsibility/employees/


32


COMPENSATION AND ADDITIONAL BENEFITSAt Aurubis, commitment and good performance are rewarded: our compensation system includes both basic compensation as well as performance-related components. Furthermore, we off er our employees various additional company benefi ts as a performance incentive.

Employee profi t-sharing: Employees participate in our business success at many sites. Performance and success-oriented compensation is a fundamental ele-ment of remuneration. Motivated employees make a decisive contribution to the company’s value. The performance of the individual is always assessed in connection with the performance of the team, the department or the production sector ( p. 93).

Employee shares: Staff in Germany were once again given the opportunity to acquire Aurubis shares at a discount during the past fi scal year. Even more em-ployees took advantage of this off er than in the previ-ous year ( p. 93). A total of 1,806 employees (1,647 employees in the prior year) acquired a total of 35,520 shares (31,150 in the prior year) in fi scal year 2010/11.

Management salary system: A new salary system for the management and senior staff was introduced that features uniform rules for bonuses throughout the entire Group for the fi rst time in the past fi scal year. In fi scal year 2011/12 the inclusion of the former Luvata management will be worked into the system. The life-time working-hour accounts agreed on with the em-ployees’ representatives were introduced at additional sites.

The pension provisions in place in Hamburg and Lünen as part of the pension funds issued by the chemical union and the new lifetime working-hour accounts are becoming increasingly popular. More than 90 % of the entitled employees covered by collective agreements took advantage of the off ered demography contribution.

VOCATIONAL TRAINING AND CONTINUING EDUCATIONHigh-quality training and targeted capital expenditure for employee qualifi cations secure a company’s long-term success. Vocational training and continuing educa-tion are therefore central components of our personnel policies and are open to our employees.

Training and talented young people: Because of demo-graphic change, good vocational training and fi nding specialists early on are becoming increasingly impor-tant. We thus present the company at various business and career fairs to raise interest among graduates and talented young people. In addition to direct employ-ment, we off er opportunities for semester-long work experience, etc. as part of our marketing activities at universities. We carry out projects such as “Practical Learning Day” and “9-Plus” in order to gain apprentices.

Leadership Programme: Supporting and training man-agers requires corresponding personnel development opportunities. The Leadership Programme is an impor-tant step on the path to an Aurubis-specifi c manage-ment culture. It serves to professionalise and develop employees in middle and upper management.

Successor development: The Aurubis High Potential Programme was initiated for the Group’s talented young employees. Fifteen candidates from diff erent sites were selected to participate in the 18-day event, which includes lectures, active learning, team-oriented exercises and accompanying project work.

Qualifi cations through continuing education: Develop-ing the abilities and qualifi cations of our employees is a central aspect of the personnel strategy. The main topics in the past year were occupational safety, person-nel management and languages. New off ers especially for female employees were developed and successfully carried out for the fi rst time.

A signifi cant milestone for

fulfi lling the future requirements

of modern vocational training is

our investment of € 300,000 in

a new training centre at the Lünen

site. It will ensure vocational

training and continuing education

in the recycling centre in the long

term, increasing the quality of

training. In addition, the new

space allows all apprentices to be

mentored optimally and the core

workforce to be trained directly at

the site. ( p. 10/11).


tion on the content presented here

on our German website:

Aurubis AG’s compensation &

additional benefi ts:

karriere/mitarbeiter/

leistungen/

Aurubis AG’s vocational training &

continuing education:

karriere/ausbildung/

SeitenWechselAurubis has regularly taken part in a programme called SeitenWechsel (“changing sides” in Ger-

man) for a few years. Selected managers complete a one-week internship in a social institution

and become familiar with fi elds that they have no contact with in everyday life, for example in a

hospice for the terminally ill, assistance for the homeless and asylum seekers, living projects for

the disabled or drug counselling services. Up to now, 13 managers from Aurubis have participated

in the SeitenWechsel programme, including Chief Executive Offi cer Peter Willbrandt (shown here

in front of the Hamburg institution “TheKi”, which off ers assistance to drug-addicted parents and

their children). www.seitenwechsel.com

In fi scal year 2010/11 more than

2,800 employees participated in

continuing education and develop-

ment measures at Aurubis AG for

a total of more than 39,000 hours.




! The EAP (Employee Assistance Pro-

gramme), an anonymous external telephone

hotline off ering assistance with job-related

and personal problems, was successfully

implemented at the model sites last year and

was well received by the employees.

Health and hygiene circles

have proven to be especially

successful in reducing the lead

concentration in employees’

blood. Increased lead values

were primarily due to dust and

were reduced below the legal

maximum value with technical

and organisational improve-

ments.

A safety programme with

targets is established annually in

every plant together with plant

and sector managers, Occupa-

tional Safety and the Works

Council. Its eff ectiveness is

monitored regularly.

DIVERSITY AND EQUAL OPPORUNITY Working life and demography: The diversity of employ-ees in our global Group is viewed and promoted as an enrichment. Our employees are individuals and are assessed according to performance, independently of aspects such as background, gender, religion and sexual orientation. We want to be an attractive company for every person and are currently focusing our eff orts on older and female employees in particular. Our percent-age of female employees in the Group is 11.2 %, a low level that is typical for the industry ( Fig. 4.3, p. 34) . We provide contact points for complaints that follow We provide contact points for complaints that follow up on every reported suspicion of discrimination. Viola-up on every reported suspicion of discrimination. Viola-tions of the prohibition against discrimination lead to tions of the prohibition against discrimination lead to consequences in the scope of labour law, such as a consequences in the scope of labour law, such as a warning or dismissal.warning or dismissal.

Work-life balance: A balance between work and free time is very important to us. Only those who have enough time for family, friends and personal interests are motivated in the long term. We try to institute fl exible working hour regulations wherever possible. In the industrial sector in Hamburg and Lünen, we use a shift system so that mothers and fathers are not away from their families for many days at a time. There is an from their families for many days at a time. There is an option to be released from work as needed if a family option to be released from work as needed if a family member is sick.member is sick.

Co-determination: Good cooperation between em-ployees and the corporate management represents an important success factor for us. We can only be continuously successful with employees who stand continuously successful with employees who stand behind our decisions. We are therefore committed to behind our decisions. We are therefore committed to comprehensive co-determination. On the corporate comprehensive co-determination. On the corporate level, the Executive Board and the Supervisory Board, level, the Executive Board and the Supervisory Board, which represents the staff , work closely together as which represents the staff , work closely together as the highest decision-making bodies. On the working the highest decision-making bodies. On the working level, works councils represent employees’ interests in Germany. In autumn 2009 a European Works Council was elected, which takes our internationalised Group into account into account .

HEALTH PROTECTION IN THE GROUPThe targets of health protection are to avoid work-related The targets of health protection are to avoid work-related accidents and illnesses and to promote mental and accidents and illnesses and to promote mental and social well-being in the workplace. Employees’ safety social well-being in the workplace. Employees’ safety and health hold the same importance as the economic and health hold the same importance as the economic development of the company. We do not diff erentiate development of the company. We do not diff erentiate between our own employees, employees from external between our own employees, employees from external companies or visitors when it comes to this issue.companies or visitors when it comes to this issue.

Risks, hazards: Copper production and processing are associated with concrete potential hazards. We there-associated with concrete potential hazards. We there-fore ensure that every process and every work proce-fore ensure that every process and every work proce-dure is subject to an extensive, systematic risk and dure is subject to an extensive, systematic risk and hazard assessment before it is carried out. Training for hazard assessment before it is carried out. Training for internal and external employees as well as the compul-internal and external employees as well as the compul-sory safety standards are based on this assessment.sory safety standards are based on this assessment.

Work sector analyses regarding potential eff ects on Work sector analyses regarding potential eff ects on employees, from chemical substances to thermal radia-employees, from chemical substances to thermal radia-tion and strained posture, form the basis for all of the tion and strained posture, form the basis for all of the preventive occupational health check-ups routinely preventive occupational health check-ups routinely carried out at all of the sites as well as targeted health carried out at all of the sites as well as targeted health promotion programmes promotion programmes promotion programmes . In addition, some sites off er internal consulting related to addiction prevention and internal consulting related to addiction prevention and internal consulting related to addiction prevention and treatment .

Accident trend: The frequency of accidents based on the number of lost shifts decreased by 26.5 % during the past fi scal year; the absolute number of accidents fell from 131 to 101 and there were no work-related fatalities. Systematic analyses of accidents and hazard-ous situations involving employees and employee representatives form the basis for “learning from incidents” across the Group. The communicated focuses are the foundation for individual support in the Business Units and at the sites. The occupational safety and health protection guidelines introduced safety and health protection guidelines introduced group-wide in 2011 are supplemented by topical, bind-group-wide in 2011 are supplemented by topical, bind-ing process instructions ing process instructions .

There are plans to include the

new larger sites in the European

Works Council.

Aurubis is employing targeted

marketing measures in order

to raise interest in Aurubis’

industrial jobs among females

so that the percentage of female

employees grows in future. For

example, the company organ-

ised the “Technical University

Day”, opening its doors for male

and female pupils. Relevant

universities were presented

on the Aurubis premises and

informed the school leavers

about courses of study and

professional aims. Aurubis uses

the event fi rst and foremost to

create an interest in engineering

studies among female partici-

pants ( p. 92).p. 92).p. 92

Information on the photos p. 48.

34


HamburgCabloRETORTEPeute Baustoff

Lünen PirdopTurkey

OlenBrusselsAurubis ItaliaAurubis Switzerland

Aurubis SwedenAurubis MortaraAurubis Buff aloAurubis Finland Aurubis NetherlandsAurubis UKAurubis SlovakiaAurubis Sales Force

Fig. 4.4: Human resources in the Aurubis Group

HR Corporate

Compensation & Benefi ts HR Development

HR Hamburg HR Lünen HR Southeastern Europe HR Belgium HR BL FRP2 &

Specialty Wire Global

HR Stolberg

Aurubis StolbergSchwermetallDeutsche Giessdraht

Our personnel in fi gures

male 3,841

female 1421,461 male

527 female

260 male

Blue collar

White collar

Apprentices

Fig. 4.3: Personnel structure

for the Aurubis Group as of 30 September 2011

21– 26– 31– 36– 41– 46– 51– 56– >61 <20 25 30 35 40 45 50 55 60

6– 11– 16– 21– 26– 31– 36– >40 <5 10 15 20 25 30 35 40

Fig. 4.1: Age distribution

for the Aurubis Group as of 30 September 20111

4 % 8 % 9 % 9 % 10 % 15 % 17 % 14 % 10 % 5 %

Fig. 4.2: Length of employment

for the Aurubis Group in years as of 30 September 20111

27 % 12 % 13 % 10 % 12 % 10 % 9 % 4 % 2 %

1 Aurubis AG, Aurubis Belgium,

Aurubis Bulgaria, Aurubis Italia,

Aurubis Slovakia, Aurubis

Stolberg, Aurubis UK, Cablo,

Deutsche Giessdraht,

Peute Baustoff , RETORTE,

Schwermetall; excluding Aurubis

Switzerland, Aurubis Italy

management, RETORTE GmbH

apprentices

2 BL FRP & Specialty Wire Global:

Business Line Flat Rolled

Products & Specialty Wire

Global

About 1,400 employees are

more than 50 years old. The

skills acquired during one’s

working life cannot be replaced

by young employees without

additional measures. With a

comprehensive occupational

safety and health protection

system and systematic person-

nel development, we take care

to ensure our older employees’

physical and mental capabilities.

Most of Aurubis’ employees

work in skilled trades, which is

typical for industry. The Aurubis

Group had 6,279 employees as of

30 September 2011. About 98 %

of our employees work full-time.

Part-time arrangements are

fairly rare, mainly due to the

shift system.

48 female



Vocational training in Germany We invest intensively in voca-

tional training and continuing education for our personnel group-wide.

The fi gures prove the success of our commitment: the apprenticeship

rate has been over 8 % for years, and the retention rate for the

apprentices is well over 90 % after they complete their training.

Vocational training in Bulgaria Since the dual vocational

training system in Germany has stood the test of time over many

decades, we decided to introduce it at the Pirdop site as well, where 14

young people are currently being trained in this way for the fi rst time.

The European Works Council and the Group Works Council are

represented in the Group Safety Management Committee. Employee

representatives and the Executive Board pursue the same target in

occupational safety and health protection. Therefore, formal agree-

ments have not been made on the group level up to now.

Our campaign “The 4 W’s” initiated in Hamburg in 2007 is an

important awareness measure for hazards in daily work. In the

meantime, the “4 W Campaign” has been expanded to six sites:

Aurubis Stolberg, Aurubis Belgium, Aurubis Bulgaria, the Hamburg

and Lünen sites and Aurubis Switzerland.

2008/2009 2009/2010 2010/20113

2008/2009 2009/2010 2010/20113

2008/2009 2009/2010 2010/20113

Fig. 4.5: Apprentices and their percentage of the workforce

at the Aurubis Group’s German sites

274 286 288

in percent 8.2 % 8.4 % 8.1 %

Fig. 4.6: Continuing education measures

number of hours of continuing education for Aurubis AG

40,000 33,035 39,000

Fig. 4.7: Absenteeism due to illness

per fi scal year, consolidated as a 12-month average

4.28 4.26 4.35

2008/2009 2009/2010 2010/20113

Fig. 4.8: Industrial accidents in the Group4

per fi scal year

17.1 / 6.9 18.2 / 7.8 13.3 / 7.2

LTIFR₍₁₋n₎: occurrence of

accidents with at least one lost shift

per 1 million working hours

LTIFR₍₄₋n₎: occurrence of

accidents with more than three lost

shifts per 1 million working hours

3 Excluding former Luvata RPD sites

4 From now on, we will report the frequency of accidents as LTIFR₍₁₋n₎

(lost time injury frequency rate) after using LTIFR₍₄₋n₎ , which is cus-

tomary in Germany. This enables us to make an international bench-

mark comparison with companies from similar industries after the

Group average of LTIFR₍₄₋n₎ was below the BG Chemie’s key index for

years (BG Chemie LTIFR₍₄₋n₎(2009) = 8.5).

Where we see the roots of our social commitment

36

SOCIAL RESPONSIBILITY

Being economically successful in the long term does not only require an excellent environmental balance and highly motivated employees. Good and honest relationships with the people at our sites, where we are among the biggest employers, are just as important. Financial and logistical support of social, ecological and cultural projects is thus a matter of course for us and has been integrated seamlessly into Aurubis’ spec-trum of entrepreneurial responsibility. We involve the people at our sites in the company’s success and enrich the quality of life on-site beyond economic aspects. We realise that we can only benefi t from a lively envi-ronment in which people feel good and appreciate our presence. To us, our donations and sponsoring activi-ties are investments that pay off .

Strategy and targetsENGAGING TOGETHEROur social commitment, which we have pursued since the beginning at all of our sites, follows a clear strategy. Our expenditures for sponsoring and donations are intended to have the most positive infl uence possible on society and, likewise, on our company. In order to allocate funds in a targeted manner, we have estab-lished what we would like to achieve with our involve-ment. We pursue fi ve objectives with our activities:

» We want to increase Aurubis’ name recognition at the sites

» We want to be perceived as a responsible and dedicated company

» We want to continuously improve our employees’ motivation

» We want to get people interested in our company and our work to gain new qualifi ed employees

» We want to connect our customers to us in the long term

We do not lose sight of the locations or content of our main business in the process. The projects we support should have local relevance. We concentrate on the areas surrounding our production and processing sites. We are familiar with these locations and can achieve a great deal there in cooperation with the authorities and the community. Ideally, this proximity coincides with our copper expertise. Presenting the various uses of this fascinating material to the public is an important part of our charitable activities. For example, we have provided new copper for the renovation of several churches in Hamburg and recycled the copper scrap.

We live our responsibility for people and the environment every day by orienting our core business towards sustainability criteria.

Aurubis Bulgaria 2011 is an offi cial partner of the international

exhibition “Transform”, where art students present their work.

The project supports young artists from Southeastern Europe

– including writers – and is held in a diff erent country every year.

It was sponsored as part of the partnership with the National

Academy of Arts in Sofi a, which has been in place since 2010. In

this context, Aurubis Bulgaria also promotes art in public spaces,

art competitions and art education for children from the area

surrounding the Pirdop site.

Aurubis Bulgaria started the

“Green Project” in 2010, allowing

employees to make an active

contribution to the successful

environmental protection work.

With the help of eff ective commu-

nication and its own logo, training

and activities, the project’s purpose

is to raise awareness of environ-

mental protection sustainably.



OrganisationTHINKING GLOBALLY – SUPPORTING LOCALLYThe responsibility and organisation of Aurubis’ social commitment at the Hamburg and Lünen sites rests with the sponsoring team. The team discusses new grant applications once a week and decides which activities will be supported. The sponsoring team oversees the sponsoring budget in close cooperation with the CEO.

Our subsidiaries submit grant applications to the spon-soring team but make decisions themselves based on their experience on site; the activities are covered by their own budgets. If sponsoring requests exceed an established amount, the sponsoring team is included in the assessment. All sites report their sponsoring activities to the sponsoring team annually.

We have established criteria for the concrete selection of projects that deserve support, which serve as a guide for our sponsoring team and those responsible for sponsoring at the individual sites. We support projects:

» with a special connection to copper

» demonstrating a social and environmental commitment

» that promote culture

» that support education, science and teaching

» that promote sports and young people in order to establish team spirit and social skills

ChallengesCOMMITMENT WITH FORESIGHTWith the international expansion in 2011, we are also faced with the challenge of implementing and harmo-nising our concept worldwide as regards our social commitment. Despite central strategic control by the sponsoring team, we want to take local distinctions at our sites into account and make sponsoring decisions as independently as possible – a balancing act for which we are well positioned.

Apart from the new company structure with the former Luvata sites, probably the biggest challenge for the future is the present economic situation. Many companies are anxious due to factors such as the euro crisis and are making cuts that include funding for social activities. In contrast, we view social commit-ment as an essential contribution to our success and do not plan any signifi cant cuts. On the contrary, it is our aim to maintain our long-term commitment despite the uncertain economic and political environ-ment. In order to continue our activities in the com-munity to the usual extent, we believe it is necessary to review projects closely and to give preference to those with especially high and sustainable added value for the community and the company.

We have kept our sponsoring budget at the same level during the past three fi scal years. This will likely continue in fi scal year 2011/12, as our activities are planned for the long term. Regional projects near our sites often rely on fi nancial planning and security, which is why we support various projects continuously over many years.

(from l. to r.) Michaela Juschkus

(Head of Event Management),

Michaela Hessling (Head of Group

Communications), Kirsten Kück

and Simone Tasche (both from

Group Communications)

The sponsoring team includes

employees from the Group Com-

munications department and the

Event Management department.

Social commitment is part of the

CEO’s scope of responsibilities.




on our website

responsibility/commitment/


38


Aurubis would like to raise

interest among pupils for the

subjects of maths, informatics,

natural sciences and technology

(the so-called MINT subjects) as

early as possible and promote it

long-term together with schools.

YOUTH SUPPORT – WE SPARK YOUNG PEOPLE’S INTEREST IN AURUBISLike many other companies, Aurubis is facing a consid-erable shortage of young people, especially in technical occupations. At the same time, school-leavers with a basic level of education and pupils with a migrant back-ground are confronted with diffi culties as they begin their careers. We do not want to simply accept this problem, but to fi nd solutions – for the good of the problem, but to fi nd solutions – for the good of the company, the young people concerned and the local company, the young people concerned and the local community. Youth support in cooperation with schools community. Youth support in cooperation with schools and universities is therefore a signifi cant element of our and universities is therefore a signifi cant element of our social commitment .

Concretely, we strive to simplify the transition from school to work in several projects. We collaborate with the Schule Slomanstieg in Hamburg and the Käthe-Kollwitz-Gesamtschule in Lünen. We enable pupils to Kollwitz-Gesamtschule in Lünen. We enable pupils to learn about everyday work at Aurubis as part of plant learn about everyday work at Aurubis as part of plant tours and short internships. In addition, our employees tours and short internships. In addition, our employees serve as ambassadors who provide insights into the serve as ambassadors who provide insights into the working world during class visits. We also pursue this working world during class visits. We also pursue this combination of theory and practice with our university combination of theory and practice with our university partnershipspartnerships ( p. 21). For example, in Bulgaria, Aurubis supports universities and schoolssupports universities and schools ( p. 36) with funding and internship off ers.and internship off ers.

SOCIAL ENGAGEMENT – WE OFFER SUPPORT WHERE IT IS NEEDED MOSTWe are convinced that we as a company can only We are convinced that we as a company can only be successful in the long term if we are an active part be successful in the long term if we are an active part of a society worth living in, in which everyone ac-of a society worth living in, in which everyone ac-knowledges and appreciates our business’ positive knowledges and appreciates our business’ positive contribution. This kind of society has to off er pros-contribution. This kind of society has to off er pros-pects to disadvantaged people in particular and im-pects to disadvantaged people in particular and im-prove their life situation. We also want to do our part prove their life situation. We also want to do our part to contribute to this.

We cooperate with local institutions in order to create far-reaching positive momentum. In Bulgaria, for exam-ple, we are involved in education, assistance for the disabled and unemployed and the integration of minori-ties in the towns surrounding the Pirdop site, and we support the hospital’s paediatric ward and the local orphanage. However, not only the company but the employees themselves are active, e. g. donating money and items to the “Grandmother-Child Foundation”, which enables senior citizens to volunteer their time to look after children. Furthermore, the company sup-ports sports clubs and music groups, the renovation of schools in the region and the construction of youth sports centres.

Aurubis Bulgaria has been recognised for its activities several times ( p. 42).

(picture at left)

“Project MINTprax”: a pupil at

the Stadtteilschule Barmbek fi les

a piece of copper

(picture at right)

Draga Sapundjieva (2nd from l.),

Aurubis Bulgaria’s Social Project

Coordinator, and George Nikolov

(centre), Aurubis Bulgaria’s

General Secretary, visit the

kindergarten in Pirdop.

Aurubis was awarded the SchulMerkur prize by the Hamburg Chamber of

Commerce in 2008 for the 9-Plus project, which started in summer 2007

together with the Schule Slomanstieg. The prize acknowledged our work in

promoting dialogue between schools and the business sector to the special

advantage of young people. The transition from school to working life takes

centre stage in the 9-Plus programme. We create prospects for disadvantaged

youth while simultaneously counteracting our problem fi nding new employees.

The project comprises a one-year internship for young people with basic school

qualifi cations, who are trained in the plant while receiving lessons in German,

maths and English. Following the internship, there is an opportunity to stay on

as an apprentice.

The secondary school level at the Schule Slomanstieg, and consequently the

9-Plus project, were previously on the verge of being discontinued. However,

in November 2011 the school authorities decided to convert the school into a

district school, which saved the project. It can therefore take place for the sixth

time during the 2012/13 school year. A total of 49 young people participated in

the 9-Plus project from 2007 to 2010, 36 of whom were off ered an apprentice-

ship. Twelve people are taking part in the programme in training year 2011/12.

Beyond the cooperative

projects that have existed for

many years, we collaborated

with additional schools during

the reporting period, e. g. as

part of the MINTprax project

with the Stadtteilschule Barm-

bek in Hamburg. In this project,

vocational trainers go to the

school and introduce pupils to

technology.

www.mintprax.de

Youth project 9-Plus can continue following school reform



CULTURE, ART AND ARCHITECTURE – COPPER AT ITS BESTCultural institutions and events, art and architecture enrich our lives and have an infl uence that often ex-tends well beyond city boundaries. In many cases, however, there is a lack of funding to make museums, concerts and art projects a reality. We are therefore involved in cultural issues at our sites, contributing to an appealing, varied and abiding cultural landscape.

Culture We supported diff erent projects and artists in fi scal year 2010/11 as part of our cultural sponsoring, including an exhibition about the work of the renowned artist Wolfgang Werkmeister at the Altonaer Museum. We have enthusiastically followed the career of this artist, who produces his etchings with the help of cop-per printing plates, for years. His works decorate the rooms and hallways of our Group headquarters, so it was important to us to be able to make a contribution in this area. Another example is the copper exhibition

“Treasures of the Andes”, which you can read more about on p. 40.

Architecture Copper is a fascinating material. It is im-possible to imagine everyday life without it. However, the “red gold” is usually hidden, for example in electri-cal appliances or cables. In contrast, it can truly shine when it is used in architecture. Whether in modern museums or time-honoured monuments: copper has been used since the very beginning and is re-interpreted time and time again.

We are pleased when our product gains prominence due to its use in public spaces. Therefore, we are involved in maintaining signifi cant copper structures. The copper for the roofs of the main Hamburg churches, St. Jacob and St. Peter, came from Aurubis. We also supplied the material for the Church of St. Katherine and the famous Church of St. Michael and recycled the copper scrap.

SPORT SPONSORING – MOVEMENT IN EVERY SENSE OF THE WORDFairness and teamwork guide us daily in our work and enable our success.

Through our commitment to popular sports, we carry our values beyond the boundaries of the Group, out into society and to young people in particular. For dec-ades we have continuously sponsored a range of sports clubs involved in several diff erent sports. Whether volleyball, handball, football or sailing – we always make sure that our projects have a long-term eff ect, even if they are limited in time. This gives the clubs the neces-sary security to plan and organise projects so that they can concentrate fully on their sport and rise to new heights of performance. We are particularly proud of the fact that we continue to support the women of the fi rst-league volleyball team VT Aurubis Hamburg, which came in sixth place in the 2010/11 season. In the 2011/12 season, VT Aurubis Hamburg is pursuing the strategy of enhancing the professional aspects surrounding the high-performance sport. Among other developments, the new volleyball court in the Bürgerzentrum Süder-elbe (a local community centre) – the new CU Arena – has contributed to this since December 2011. CU stands for copper on the one hand, but also for “See you – Volleyball meets friends”, the fact that visitors now frequent the new, modern court, which fulfi ls the requirements for international games.

Aurubis Bulgaria supported the large national biking event “61st Cycling Tour of Bulgaria” in 2011 for the second time in a row. Many employees and children of employees actively took part in this event – as cyclists, fans and advertisers for Aurubis.

Copper is among the fi rst

metals used by humans and, with

its unique properties, is one of our

oldest building materials. In the

twentieth century, the historical

role of copper changed from a

durable roofi ng material to an

architectural “skin” that can cover

all surfaces and form facades. The

ductility of copper sheet allows

it to be used as a covering for all

kinds of architectural elements, as

the surfaces can be fl at, raised or

faceted and executed at any angle

in any environment.

The acquisition of the former

Luvata RPD in 2011 brought

distinctions in the architectural

sector along with it as well: three

projects which utilised copper

products from Aurubis’ Nordic

brand received the “European

Copper in Architecture Award” in

2011. The architectural industry

off ers Aurubis excellent opportuni-

ties to make the company as well

as copper even more well-known

through contemporary design.

(from l. to r.)

Poster for the copper exhibition

“Treasures of the Andes”

Etcher Wolfgang Werkmeister

The players of the fi rst-league

volleyball team VT Aurubis

Hamburg in the new CU Arena

40


1 Projects with a special connection to copper Treasures of the Andes The Chilean Corporación Nacional de Cobre de Chile (CODELCO), the world’s most important copper mining company, and the German Mining Museum in Bochum designed and implemented the exhibition “Treasures of the Andes – Chile’s Copper for the World”. It deals with the achievements of South American and particularly Chilean mining in copper recovery and supplying the world with this essential metal. The exhibition focuses on the importance of copper for the (cultural) history of humanity as well as the national and inter-national economic signifi cance of CODELCO and its open-cast and underground mining facilities, which are among the largest of their kind in the world. Various exhibits on loan from Aurubis’s Hamburg, Lünen and Stolberg sites illustrate modern-day copper production methods.

2 Projects demonstrating a social and environmental commitmentEnvironment Mobiles for environmental awareness Aurubis AG has supported the environmental education work of Hamburg’s local branch of the German Associa-tion for the Protection of Forests and Woodlands since 2005 by sponsoring the “Environment Mobile”. This is a rolling classroom that provides young visitors with information and crafts related to the topic of climate protection and conservation. There is space for 14 chil-dren at seven workbenches in the Environment Mobile. The equipment includes technical instruments such as microscopes and other laboratory devices, video equip-ment and a water reservoir that is used in a variety of projects for children. Aurubis’ support not only makes it possible for the Environment Mobile to visit schools and public events free of charge, but also contributed to a second Environment Mobile in autumn 2008.

Another focus of this key area is social projects. Examples can be found on p. 38.

3 Projects that promote culture Concert du Printemps The classical concert series

“Concerts du Printemps” (“Spring Concerts”) takes place in the abbey of Val-Dieu, a former convent in the tri-border region of Belgium, Germany and the Nether-lands. It is no accident that Aurubis Belgium and the Aurubis subsidiary Schwermetall in Stolberg sponsor this event: on the one hand, the Head of Production and Sales at Schwermetall, André de Leval, has been one of the volunteer organisers of the concert series since 1981 – on the other hand, our material, copper, plays an indispensable role in making instruments.

4 Projects that support education, science and teachingBetagreen The international technology competition

“F1 in Schools”, which involves a Formula 1 champion-ship exclusively for school teams, has been taking place for eleven years. The teams’ tasks comprise the whole spectrum of the “big Formula 1”, from car development and simulation to manufacturing, marketing, sponsor-ing and PR up to the actual race itself. Aurubis has supported the Hamburg team “Betagreen” since it was founded. In the 2011 season the team won the Vice World Champion title and the prize for Best Research and Development endowed by Pirelli.

5 Projects that promote sports and young people in order to establish team spirit and social skillsSmall athletes, big tests Sport certifi cates are more important than ever today, because they create an awareness for one's own health and physical fi tness. The earlier that happens, the better. At the Stolberg site, Aurubis is sponsoring a project enabling all the children at the local primary schools to earn a German Youth Sport Certifi cate - without having to pay an entry fee. And this support shows concrete results: a total of four Stolberg schools were recognised by the Aachen Regional Sport Association for their especially good achievements compared to the state average in 2011.

Examples of our social commitmentTo provide you with an idea of our social commitment, we present fi ve of our

sponsored projects here – one from each of our fi ve main categories ( p. 33).


tion about the projects presented

here online

chile-ausstellung.

bergbaumuseum.de/

www.sdw-hamburg.de/

das-umweltmobil-rollt-wieder/

http://betagreen.de/

website_wm2011/index.html



“Is it true that there are huge amounts of gold in mobile phones that cannot be recovered because people keep the phones in their drawers at home?”

“The estimate in Europe is at least one or two devices per person. Up to 0.02 g of gold can be found in each mobile phone – that’s not more than € 0.80 at today’s gold prices. There are other metals contained in them that maybe amount to € 0.20 in total. But it requires a great deal of eff ort to process mobile phones for this purpose. So there are large quantities overall in Europe, but they cannot be recovered in an economic fashion, as used mobile phones are sold online for up to € 10. In addition, if we look at the German market, mobile phones represent only a small proportion of electronic scrap at about 5,000 t. Comput-ers, circuit boards, TVs, household appliances, etc. amount to about one million t annually.”

“How can that be? Where is the catch?”“Mobile phones are sold on eBay, etc. at prices that are often up to ten times more than the metal value. The buyers assume that most of the devices are still functional and can be sold again – in areas in which many people cannot aff ord a new mobile phone. That’s okay in principle, but when these devices are fi nally broken, they are dis-posed of there with questionable methods.”

“What do you mean by ‘questionable methods’?”“In these regions, people of all ages process giant piles of electronic scrap without any occupational safety measures and remove metal parts from old devices with the simplest tools. Leftover parts that can’t be reused are simply burnt. In the process, heavy metals such as lead and mercury, which are found in batteries, fl at-screen TVs, etc., can lead to environmental damage but, more importantly, to sig-nifi cant health problems as well.”

Old mobile phones and electronic scrap: a curse or a blessing? Questions for Stefan Georg Fuchs, Head of Electronic Scrap Procurement and Deputy Head of Commercial Recycling.

“What can be done to prevent people from endangering themselves and polluting the environment?”

“The EU’s Waste Electrical and Electronic Equipment Direc-tive, WEEE for short, regulates the return of old devices. According to WEEE, it is illegal to export non-functioning devices to countries that do not provide organised disposal for this waste. However, the export of functioning devices is legal. The problem is that this loophole is not suffi ciently monitored. Unscrupulous merchants market electronic scrap in regions that don’t have a suitable recycling system. The extent of the illegal export of old devices has increased so much that Interpol has even established its own depart-ment to counteract it. In order for WEEE recycling to be a success, exports must be monitored better and the wherea-bouts of old devices must be documented. And it should become a matter of course that our old devices are only given to authorised recyclers.”

“Thank you, Mr Fuchs!”

Multi-metal recycling at the

Aurubis Group

Stefan-Georg Fuchs,

Head of Electronic Scrap

Procurement and Deputy Head

of Commercial Recycling

42

How others view our workA selection of external prizes and distinctions

January 2010

“German Economic Prize 2009”

Aurubis Bulgaria is distinguished in the “Large Company”

category in Sofi a for its capital expenditure at the Pirdop site.

The prize is awarded by the German-Bulgarian Chamber of

Industry and Commerce.

April 2010

“IN-5-Awards”

Aurubis Bulgaria is distinguished by the Bulgarian Industrial

Association in the “Industry” category. This acknowledges the

company’s contribution to the Bulgarian economy through its

capital expenditure at the site.

July 2010

“Plant with an exemplary occupational health system”

Dietrich Wersich, president of the Hamburg Authority of

Social Aff airs, Family, Health and Consumer Protection, confers

this distinction in the Hamburg plant.

The performance at the Hamburg site has therefore been

recognised twice already.

July 2010

“Supplier Excellence Award”

Aurubis Stolberg is honoured for its excellent performance as

“Premium Supplier” of the Eaton Corporation (Cleveland, USA)

in 2009.

August 2010

“Responsible Care Prize”

Aurubis Hamburg is honoured by the Chemical Industry

Association (State Association North) for its involvement

in the “Qualifi cation and Training Programme 9-Plus”.

October 2010

“Best Training Company”

Stefan Schröder, an apprentice at the Lünen site, is one of

the best apprentices in the federal state of North Rhine-

Westphalia. The distinction is conferred by the Chamber of

Industry and Trade in Ostwestfalen zu Bielefeld.

November 2010

“Hamburg European Green Capital 2011”

As an environmentally friendly company, Aurubis is recognised

by the Hamburg Authority for Urban Development and the

Environment (BSU) as an environmental partner of the initiative

“Environmental Partnership: Project 2011” as part of “Hamburg

European Green Capital 2011”.

December 2010

“Donor Company of the Year”

Aurubis Bulgaria receives the certifi cate in the “Highest

Financial Donation Volume” category from the Bulgarian

Donor Forum.

March 2011

1st prize at the regional competition “Youth Research”

Distinction for the specialised chemistry work carried out by

the pupil Hannah Schlott; she was supervised by RETORTE.

June 2011

“The Greenest Company in Bulgaria 2010”

Aurubis Bulgaria is honoured in the “Industry and Production

Sector” category for its capital expenditure for environmental

protection. The prize is awarded by b2b.

July 2011

“Eaton Premium Supplier Award”

As in the previous year, Aurubis Stolberg is recognised as a

fi rst-class supplier for 2010 and also receives the “Supplier

Excellence Award” for 2010.

September 2011

Special “Integration” award

As part of the “Hamburg’s Apprentice of the Year 2011”

competition, Bulut Sarat, an apprentice at the Hamburg site,

receives the special award. (A collaboration between the

Chamber of Commerce and Skilled Trades and the BILD news-

paper.) www.azubidesjahres.de

September 2011

“European Copper in Architecture Award 15”

Three projects that work with Nordic Copper from Aurubis

were honoured. Nordic Copper is fabricated at the Pori site.

October 2011

“Sponsor of the Year 2011”

The distinction is awarded to Aurubis Bulgaria by the Bulgarian

Minister of Economy and Industry Traycho Traikov.


Glossary

Anodes »The end product of pyrometallurgical copper production.

Positive polarised electrodes of a tankhouse cell. Copper

content about 99 %.

Compliance »Compliance means conduct that conforms to certain rules.

Apart from laws, directives and other governmental standards,

it also refers to corporate guidelines (e. g. codes of conduct).

Continuous cast wire rod »Semi-fi nished product produced in a continuous process for

the fabrication of copper wire. Standard diameter: 8 mm.

Other dimensions can also be supplied.

Copper cathodes » Quality product of the copper tankhouse (copper content above

99.99 %) and the fi rst marketable product in copper production

which can be sold on the metal exchanges.

Copper concentrates »A product resulting from the processing (enriching) of copper

ores, the Aurubis Group’s main raw material. Since copper is

found almost exclusively in ores in compound form and in low

concentrations (0.5 to 4 % copper content), the ores are en-

riched into concentrates (copper content of 20 to 40 %) in

processing facilities after extraction from the mine.

Copper tankhouse »In the copper tankhouse an electrochemical process, the last

refi ning stage in copper recovery, takes place. Anodes and

cathodes are hung in a sulphuric acid solution (electrolyte) and

connected to an electric current. Copper and baser elements

(e. g. nickel) are dissolved in the electrolyte. Copper from the

solution is deposited on the cathode with a purity of more than

99.99 %. More precious metals (e. g. silver and gold) and insolu-

ble components settle as so-called anode slimes on the bottom

of the tankhouse cell.

Emissions »In general, the discharge of disruptive factors into the

environment – e. g. by-products or chemical substances that

are a hazard to health or the environment. An important aim

of environmental protection is to suppress or reduce hazardous

emissions as far as possible in order to avoid environmental

pollution, such as air, soil or water contamination, and at the

same time to protect people from pollution in their homes and

workplaces.

Environmental management »The environmental management or environmental management

system in a company is concerned with the business environ-

mental (protection) requirements and those of the authorities.

Its purpose is to ensure the sustained environmental compat-

ibility of the company’s products and processes as well as the

conduct of its employees.

EU Emission Trading System »The European Union Emission Trading System (EU ETS) limits

CO₂ emissions within the EU, where companies are allocated

emission rights in the form of tradable certifi cates.

Iron silicate »A by-product of copper production in the refi ning process.

Formed using sand from iron chemically bonded to copper

concentrates and recycling raw materials. Is mainly used in the

construction industry as granules/sand or in a lumpy form.

KRS »Kayser Recycling System; a state-of-the-art recycling plant in

Lünen for the treatment of a wide range of copper-bearing

secondary raw materials.

KRS-Plus: Expansion of the existing KRS facility that includes

a top blown rotary converter ( p. 22/23).

LME » London Metal Exchange: the most important metal exchange in

the world with the highest sales.

Primary copper »Copper recovered from copper ores.

Secondary copper »Copper produced from recycled material.

Sustainability » The concept of sustainability originally described the use of a

regenerative natural system in such a way that this system can

be maintained at a certain rate or level and thus its supply can

subsequently grow back by natural means. The Brundtland

Commission of the United Nations has defi ned sustainability as

development that satisfi es the needs of the present without

compromising the ability of future generations to meet their

own needs. As a corporate perspective, the concept of sustain-

ability demands economically viable, ecologically compatible

and socially just development.

44

Indicator and Description References and Notes Compl.STRATEGY AND ANALYSIS

1.1 Statement from the CEO p. 2–5 •••

1.2 Impacts, risks and opportunities p. 2–5, 15, p. 103, 109 •••

ORGANISATIONAL PROFILE

2.1 Name of the organisation Aurubis; p. 6 •••

2.2 Primary brands, products and/or services p. 6–9, 17, 22/23 •••

2.3 Operational structure of the organisation Front inner fl ap, p. 7, corporate group/ •••

2.4 Location of organisation’s headquarters Hamburg, p. 6 •••

2.5 Countries of main production sites Front inner fl ap •••

2.6 Nature of ownership and legal form Joint-stock company; p. 16 •••

2.7 Markets served Front inner fl ap, p. 6, 8/9 •••

2.8 Scale of the reporting organisation Front inner fl ap, p. 6/7, 12 •••

2.9 Signifi cant changes regarding size, structure or ownership p. 2–5, 7, 11/12, p. 7, 58 •••

2.10 Awards received in the reporting period p. 42 •••

REPORT PARAMETERS

3.1 Report profi le: Reporting period 1 January 2010 to 31 December 2011; p. 47 •••

3.2 Report profi le: Date of most recent previous report 2009; p. 47 •••

3.3 Report profi le: Reporting cycle Annually, p. 47 •••

3.4 Report profi le. Contact point for questions about the report p. 48 •••

3.5 Process for defi ning report content p. 47; basis: stakeholder survey (reporting period 2009) •••

3.6 Boundary of the report p. 47 •••

3.7 Specifi c limitations on the scope of the report p. 47 •••

3.8 Basis for reporting on joint ventures, subsidiaries, external operations and facilities p. 47 •••

3.9 Data measurement techniques and the bases of calculations and estimations p. 28, 47 •••

3.10 Signifi cant changes from previous reporting periods in the scope, boundary or measurement methods p. 47 •••

3.11 GRI Content Index p. 44–47 •••

3.12 Assurance None •••

GOVERNANCE, COMMITMENTS AND ENGAGEMENT

4.1 Governance structure p. 31, 35, 64, corporate-group/management/ •••

4.2 Independence of Supervisory Board Chairman p. 29, corporate-group/management/supervisory-board/ •••

4.3 Independence of the Supervisory Board p. 39, corporate-group/management/supervisory-board/ •••

4.4 Shareholders’ and employees’ right to provide recommendations or direction p. 33, p. 39, 92 •••

4.5 Compensation of Supervisory Board and Executive Board independently of performance p. 42, Sonstiges/Verguetungssystem_VS_Incentive_040107.pdf

•••

4.6 Avoidance of confl icts of interest p. 13, corporate-group/management/enviromental-policies-management-principles-code-of-conduct/

•••

4.7 Qualifi cations and experience of Supervisory Board and Executive Board members p. 31 •••

4.8 Internal guidelines, code of conduct and principles p. 13, corporate-group/management/enviromental-policies-management-principles-code-of-conduct/

•••

4.9 Overseeing of economic, ecological and social activities by the Supervisory Board p. 26 •••

4.10 Evaluation of Supervisory Board’s performance p. 26 •••

4.11 Precautionary approach in the company p. 12, p. 103, 109 •••

4.12 Agreements, principles, initiatives and memberships p. 15 •••

4.13 Membership in associations and advocacy organisations p. 15, Sonstiges/Memberships.pdf •••

4.14 List of stakeholder groups engaged by the organisation p. 16 •••

4.15 Basis for identifi cation and selection of stakeholders with whom to engage p. 15; basis: stakeholder survey (reporting period 2009) •••

4.16 Approaches to stakeholder engagement p. 15, 33 •••

4.17 Questions, concerns and topics of stakeholders p. 15, 33; Sustainability Report 2009, p. 17; stakeholder survey will also have an infl uence on the sustainability strategy that is being developed in 2012

•••

GRI IndexAurubis’ Sustainability Report is oriented to the guidelines of the Global Re-

porting Initiative (GRI G3) as well as the sector supplement Mining & Metals

(Final Version). The guidelines, which were drawn up by the independent non-

profi t organisation GRI based in Amsterdam, assist companies in the regular

reporting of their social, ecological and economic performance. In this way,

sustainability reports are to become more complete, more transparent, more

credible and easier to compare, bringing them up to the same standard as

fi nancial reports. In addition to information on the planning, content and qual-

ity of reporting, the guidelines also contain a catalogue of information that

ought to be published, such as management approaches and indicators for

diff erent areas. In our own opinion, Aurubis reaches Level C as regards the

application of the GRI guidelines.

ADDITIONAL INFORMATION is available in various media and publications:

Reference to an external website Reference to our website http://www.aurubis.com/en/ with the following URL

Reference to downloads on our websitehttp://www.aurubis.com/fi leadmin/media/documents/en/ with the following URL

Reference to our Environmental Report 2011 Reference to our Annual Report 2010/11

NOTES ON THE GRI INDEX••• We are answering this indicator.•• We are answering part of this indicator.• We are currently not answering this indicator.Light grey: replying to light grey additional indicators is optionalCopper-coloured: indicators from the sector supplement Mining & Metals


Indicator and Description References and Notes Compl.ECONOMIC

Management approach p. 2–5, 12/13, p. 57 ff •••

ECONOMIC PERFORMANCE

EC 1 Direct economic value generated and distributed p. 6, 16/17 •••

EC 2 Financial implications of climate change and other associated risks and opportunities Results of the BDI initiative “Business for Climate Protection” (supported by Aurubis and others), www.bdi.eu/download_content/Marketing/BDI_Klimabroschuere.pdf

•••

EC 3 Coverage of the organisation’s defined benefit plan obligations p. 32, p. 93/94 •••

EC 4 Significant financial assistance received from government p. 14, 41; CIS Solartechnik (about € 1.2 million in FY 2009/10 and 2010/11)

•••

MARKET PRESENCE

EC 5 Range of ratios of standard entry level wages compared to local minimum wage Not specified •

EC 6 Policy, practices and proportion of spending on locally-based suppliers p. 14 •••

EC 7 Local hiring and proportion of senior management hired from the local community p. 13, 30/31, 33 •••

INDIRECT ECONOMIC IMPACTS

EC 8 Development and impact of investments in public infrastructure and services p. 36–41 •••

EC 9 Type and extent of signifi cant indirect economic impacts Particularly wages and salaries, social expenses for employees, p. 139

•••

ENVIRONMENTAL

Management approach p. 24/25 •••

MATERIALS

EN 1 Materials used by weight or volume p. 17, p. 47 (Hamburg), 65 (Lünen) •••

EN 2 Percentage of materials used that are recycled input materials p. 17, 29, p. 47 (Hamburg) •••

ENERGY

EN 3 Direct energy consumption by primary energy source p. 28, p. 47, 58, 65, 70, 76, 81, 88, 92, 98, 101, 107, 110 •••

EN 4 Indirect energy consumption by primary energy source p. 28, p. 47, 58, 65, 70, 76, 81, 88, 92, 98, 101, 107, 110 •••

EN 5 Energy saved due to conservation and effi ciency improvements p. 28, 13 ff , 38, 39 ff , 59 ff , 70, 76, 81, 85, 88, 92, 98, 101, 107, 110 •••

EN 6 Initiatives to provide energy-effi cient products and services (incl. renewable energies) p. 26, 28, p. 10/11, 93 ff •••

EN 7 Initiatives to reduce indirect energy consumption and reductions achieved p. 25, p. 10–15 ••

WATER

EN 8 Total water withdrawal by source p. 26, 28, p. 47 (Hamburg), 65 (Lünen) ••

EN 9 Water sources signifi cantly aff ected by withdrawal of water p. 26, p. 47 (Hamburg), 65 (Lünen) ••

EN 10 Percentage and total volume of water recycled and reused p. 35/36 ••

BIODIVERSITY

EN 11 Land near protected areas (incl. areas of high biodiversity value) Hamburg site adjacent to Elbe estuary (Natura 2000)Olen site adjacent to Olens Broek

••

EN 12 Impacts of business activities on biodiversity (in protected areas and areas of high biodiversity value) p. 27, p. 42 (Hamburg), 61 (Lünen) ••

MM 1 Amount of land disturbed or rehabilitated p. 27, p. 42 (Hamburg), 58 (Lünen), 85 (Stolberg) ••

EN 13 Habitats protected or restored p. 27, p. 58 (Lünen) ••

EN 14 Strategies, current actions and future plans for managing impacts on biodiversity p. 24/25, 27, p. 22, 35/36, 41, 44–46, 49, 63/64, 66, 71, 77, 82, 86, 89, 93, 96, 99, 102, 105, 108

••

MM 2 Number and percentage of sites requiring biodiversity management plans, and number (percentage) of those sites with plans in place

Not specifi ed •

EN 15 Endangered species (IUCN Red List) with habitats in areas aff ected by operations Not specifi ed •

EMISSIONS, EFFLUENTS AND WASTE

EN 16 Total direct and indirect greenhouse gas emissions by weight p. 28, p. 39, 47, 59/60, 65, 70, 76, 81, 88, 102 •••

EN 17 Other relevant greenhouse gas emissions by weight No relevant emissions (N₂O, CH₄, FCKW) •••

EN 18 Initiatives to reduce greenhouse gas emissions and reductions achieved p. 24, 26, p. 13–15, 38–41, 52, 59, 70, 76, 81, 85, 88, 92, 101, 107, 110, 114/115

•••

EN 19 Emissions of ozone-depleting substances by weight No relevant emissions (FCKW, etc.) •••

EN 20 NOx, SOx and other signifi cant air emissions by type and weight p. 26, 28, p. 32 ff , 47, 52 ff , 65, 68, 73, 84, 90, 97, 101, 109 •••

EN 21 Total water discharge by quality and destination p. 26, p. 35/36, 47, 56, 65, 69, 74, 80, 84, 88, 91, 95, 97, 101, 107, 109

•••

EN 22 Total weight of waste by type and disposal method p. 29, p. 37, 47, 57, 69, 75, 80, 91, 110 ••

MM 3 Total amounts of overburden, rock, tailings and sludges and their associated risks p. 29, p. 37, 47, 57, 69, 75, 80, 91, 103/104, 110 ••

EN 23 Total number and volume of signifi cant spills p. 28, p. 42 (Hamburg), 61 (Lünen) ••

EN 24 Weight of transported or treated waste deemed hazardous, percentage of transported waste shipped internationally

p. 37 (Hamburg), 57 (Lünen) ••

EN 25 Aff ected bodies of water (identity, size, protected status and biodiversity value) No or insignifi cant negative impacts on protected status and biodiversity of bodies of water requiring special protection

•••

PRODUCTS AND SERVICES

EN 26 Initiatives to mitigate environmental impacts of products and services Not relevant since Aurubis produces primary products that are used in various end products

•••

EN 27 Packaging materials that are reclaimed from products sold Many products do not have any packaging. Transport packag-ing is reclaimed. Packaging quantity not relevant in relation to product quantity

•••

46

Indicator and Description References and Notes Compl.COMPLIANCE

EN 28 Signifi cant fi nes and non-monetary sanctions for non-compliance with environmental laws and regulations No signifi cant fi nes •••

TRANSPORT

EN 29 Signifi cant environmental impacts of transporting products, materials and members of the workforce p. 29, p. 27 (Hamburg), 61 (Lünen) ••

OVERALL

EN 30 Total environmental protection expenditures and investments by type p. 28, p. 19, 21, 29/30, 51, 68, 72, 78, 87, 90 •••

LABOUR PRACTICES AND DECENT WORK


EMPLOYMENT

LA 1 Total workforce by employment type, employment contract and region Front inner fl ap, p. 34 •••

LA 2 Total rate of employee turnover by age group, gender and region p. 34 •••

LA 3 Benefi ts provided to full-time employees p. 32, p. 93 •••

LABOUR/MANAGEMENT RELATIONS

LA 4 Percentage of employees covered by collective bargaining agreements Not specifi ed •

LA 5 Minimum notice period(s) regarding signifi cant operational changes p. 31 •••

MM 4 Number of strikes and lock-outs None •

OCCUPATIONAL HEALTH AND SAFETY

LA 6 Percentage of total workforce represented in occupational health and safety committees 100 %; p. 33 •••

LA 7 Injury, occupational diseases, lost days, absenteeism and work-related fatalities p. 33, 35 •••

LA 8 Education, counselling, prevention: assistance for employees regarding serious diseases p. 33–35 •••

LA 9 Health and safety topics covered in formal agreements with trade unions p. 35 •••

TRAINING AND EDUCATION

LA 10 Average hours of training per employee p. 35 ••

LA 11 Programmes for skills management and lifelong learning p. 21, 33 •••

LA 12 Percentage of employees receiving regular performance and career development reviews p. 32 ••

DIVERSITY AND EQUAL OPPORTUNITY

LA 13 Composition of governance bodies and breakdown of employees by gender, age group, minority group membership and other indicators of diversity

p. 33/34 •••

LA 14 Ratio of basic salary of men to women by employee category Not specifi ed •

HUMAN RIGHTS

Management approach Not specifi ed •

INVESTMENT AND PROCUREMENT PRACTICES

HR 1 Percentage and total number of signifi cant investment agreements that take human rights into account p. 14 ••

HR 2 Percentage of signifi cant suppliers and contractors that have undergone screening on human rights and actions taken

Not specifi ed •

HR 3 Total hours of employee training on policies and procedures concerning aspects of human rights and percentage of employees trained

Not specifi ed •

NON-DISCRIMINATION

HR 4 Total number of incidents of discrimination and actions taken None •••

FREEDOM OF ASSOCIATION AND COLLECTIVE BARGAINING

HR 5 Operations identifi ed in which the right to exercise freedom of association and collective bargaining may be at risk, and actions taken

The Aurubis Code of Conduct (Guidelines 1) applies; p. 9,corporate-group/management/enviromental-policies-

management-principles-code-of-conduct/

••

CHILD LABOUR

HR 6 Operations identifi ed as having a risk for incidents of child labour, and measures taken Not relevant •••

FORCED AND COMPULSORY LABOUR

HR 7 Operations identifi ed as having a risk for incidents of forced or compulsory labour, and measures taken Not relevant •••

SECURITY PRACTICES

HR 8 Percentage of security personnel trained in the organisation’s policies or procedures concerning human rights 30 % of the security personnel in Hamburg were trained ••

INDIGENOUS RIGHTS

MM 5 Total number of operations taking place in or adjacent to Indigenous Peoples’ territories, and number and percentage of operations or sites where there are formal agreements with indigenous communities

Not relevant •••

HR 9 Total number of incidents of violations involving rights of indigenous people and actions taken Not relevant •••

SOCIETY

Management approach p. 12–15, 36/37 •••

COMMUNITY

SO 1 Programmes and practices that concern the impacts of operations on communities p. 6, 12/13 •••

MM 6 Disputes relating to land use, customary rights of local communities and Indigenous Peoples Not relevant •••

MM 7 Grievance mechanisms used to resolve disputes relating to land use, customary rights of local communities and Indigenous Peoples, and the outcomes



Indicator and Description References and Notes Compl.ARTISANAL AND SMALL-SCALE MINING

MM 8 Operating sites where artisanal and small-scale mining takes place, and the associated risks and preventive actions taken


RESETTLEMENT

MM 9 Resettlements that have taken place (site, number of households resettled and how their livelihoods were aff ected)


CLOSURE PLANNING

MM 10 Operations with closure plans (percentage and number) p. 31; CIS Solartechnik, front inner flap; Finspång (SE) site: the plan is to cease production by the 2nd half of 2013; Yverdon-Les-Bains (CH) site: the plants are to be relocated to Olen (B)

•••

CORRUPTION

SO 2 Business units analysed for risks related to corruption (percentage and number) p. 13 ••

SO 3 Percentage of employees trained in organisation’s anti-corruption procedures p. 13 •••

SO 4 Actions taken in response to incidents of corruption p. 13 •••

PUBLIC POLICY

SO 5 Public policy positions and participation in public policy development and lobbying p. 3/4, 15 •••

SO 6 Contributions (fi nancial and material) to political parties, politicians and related institutions None •••

ANTI-COMPETITIVE BEHAVIOUR

SO 7 Legal actions for anti-competitive behaviour, anti-trust and monopoly practices and their outcomes None •••

COMPLIANCE

SO 8 Signifi cant fi nes and non-monetary sanctions for non-compliance with laws and regulations None •••



MATERIALS STEWARDSHIP

MM 11 Materials stewardship (programmes and progress) p. 20, 22/23, 27, 29 •••

CUSTOMER HEALTH AND SAFETY

PR 1 Optimisation of products and services with respect to customer health and safety p. 20/21 •••

PR 2 Non-compliance with regulations and voluntary codes concerning health and safety impacts of products and services

No incidents •••

PRODUCT AND SERVICE LABELLING

PR 3 Type of product and service information required by procedures p. 20 •••

PR 4 Non-compliance with regulations and voluntary codes concerning product and service information No incidents •••

PR 5 Practices related to customer satisfaction, including results of surveys on customer satisfaction p. 21 •••

MARKETING COMMUNICATIONS

PR 6 Programmes for adherence to laws, standards and voluntary codes related to marketing communications The Code of Conduct applies; p. 13 •••

PR 7 Non-compliance with regulations and voluntary codes related to marketing communications Not relevant •••

CUSTOMER PRIVACY

PR 8 Substantiated complaints regarding breaches of customer privacy No complaints •••

COMPLIANCE

PR 9 Signifi cant fi nes for non-compliance with laws and regulations concerning the provision and use of products and services

None •••

This is the third Sustainability Report presented by Aurubis for the reporting

period from fi scal year 2009/10 to 2010/11. Relevant current events have

been included up until the deadline of late December 2011. The report covers

the Aurubis Group. Following the acquisition of the Belgian copper producer

Cumerio nv/sa in fi scal year 2007/08, we acquired Luvata’s Rolled Products

Division (Luvata RPD) on 1 September 2011. In this report we are not yet

supplying comprehensive parameters for all of the sites included.

Uniform standards were defi ned in the environmental sector, which serve as

basis for developing environmental protection in the Group. We have harmo-

nised our environmental protection parameters in all areas and across the sites.

Control-relevant parameters were defi ned and quoted in a consolidated form

where possible.

The parameters are recorded and assessed at Aurubis in computer systems in the

individual areas relevant to sustainability. Our aim is to report on comprehensive

parameters related to sustainability for all the Aurubis Group sites in the Sustain-

ability Report in a few years’ time. The next step for Aurubis will be to develop a

summary sustainability strategy in 2012.

In our reporting we have followed the internationally recognised GRI G3 guide-

lines established by the Global Reporting Initiative as well as the sector supple-

ment for Mining & Metals.

About this report

48

ImprintPublisher

Aurubis AG, Hovestr. 50, 20539 Hamburg

Telephone: +49 40 78 83-0; fax: +49 40 78 83-22 55

www.aurubis.com

Concept and design www.motum.net

Lithography Frische Grafi k, Hamburg

Printing gutenberg beuys feindruckerei, Hannover

Deadline in December 2011

Photo creditsAndreas Schmidt-Wiethoff : p. 2, 25, 37 (below)

Beate Münchenbach: p. 4

Aurubis Finland Oy: p. 20/21

Udo Bojahr: p. 27

Dennis Lanquillon: p. 38 (left)

Dieter Nagel: p. 39 (right)

Andreas Nolte: p. 41

PR Aurubis AG: remaining photos

The following photos were taken as part of an

employee photo competition with the theme

“Up close – my workplace at Aurubis”.

Jasmina Hasanbegovic: p. 7 (left), Aurubis Hamburg

Andreas Meyer: p. 7 (centre), Aurubis Hamburg

Ingo Richter: p. 7 (right), Aurubis Hamburg

Andreas Grube: p. 13 (left), Aurubis Hamburg

Ralf Behlmer: p. 13 (right), Aurubis Hamburg

Andre Kauk: p. 19 (left), Aurubis Hamburg

Stefan Bauer: p. 19 (centre), Aurubis Stolberg

Mark Smallwood: p. 19 (right), Aurubis UK

Ralf van de Sand: p. 31 (centre), Deutsche Giessdraht

Lorenzo Colucci: p. 31 (right), Aurubis Italia

Detlev Lichte: p. 33 (left), Aurubis Hamburg

Mathias Grymilas: p. 33 (right), Aurubis Hamburg

Björn Mohr: p. 37 (above left), Aurubis Hamburg

Akyol Turgut: p. 37 (above centre), Aurubis Hamburg

Wilfried Blötz: p. 37 (above right), Aurubis Hamburg

ContactsGroup Communications

Michaela Hessling, Head of Group Communications

Telephone: +49 40 78 83-30 53; e-mail: [email protected]

Matthias Trott


Kirsten Kück


Investor Relations

Angela Seidler, Head of Investor Relations


Dieter Birkholz


Ken Nagayama


Environmental Protection

Dr Karin Hinrichs-Petersen, Head of Group Environmental Protection


Human Resources

Julia Rosenkranz, Head of HR Corporate


Andreas Hertel, Head of Compensation & Benefi ts


Andrea Sittinger, Head of HR Development


Aurubis Group Representative Offi ce Berlin

Gertraudenstrasse 20, D-10178 Berlin

Dr Andreas Möller

Telephone: +49 30 20 61 67 151; e-mail: [email protected]

The production of the Aurubis Sustainability Report 2011 and the recycled paper “Circle Silk Premium White” are certifi ed

according to the criteria of the Forest Steward Council (FSC©). The FSC© issues stringent criteria for forest management and

thus prevents uncontrolled logging, human rights violations and environmental strain. Since the products with the FSC© seal

are passed through various steps of trade and processing, the paper processing plants, e.g. printing presses, are also certifi ed

according to FSC© standards.

Our Copper for your Life www.aurubis.com

sustainability report - metals for progress · london metal exchange for its products, the...

Documents